We’ve recently announced our partnership with Griffin, which helped us embed savings accounts into our API and help fintechs and wealth managers offer an all-in-one financial solution to their customers.
But why is it important, and why are we embedding savings accounts for businesses and individuals?
The UK savings market is worth £1.5 trillion, but Bank of England statistics suggest that two-thirds of this cash is held in accounts earning 2% or less in annual interest. With smaller businesses offering a higher interest rate for easy access accounts, consumers are switching their current accounts from the CMA9 (Big 9 Banks) to platforms where they can save and invest. This offers a big opportunity for small businesses to tap into the trend and offer competitive savings products that attract and retain customers while opening up new revenue streams.
What is the partnership about?
Partnering with Griffin has helped expand our services beyond investing in cash savings. But it isn’t just adding another feature; our partnership also taps into the growing trend of embedded finance, helping businesses to integrate savings into their current proposition. It also means that companies can access a regulated and secure service without any heavy lifting, such as building a product from scratch or securing a banking partnership.
Their customers can now benefit from an all-in-one experience, with the ability to move seamlessly from savings to investments without having to jump platforms.
Why should businesses offer savings accounts to their customers?
Integrating savings accounts into your current proposition can help grow your business and diversify your revenue stream. Enabling customers to manage their finances in one place bridges the gap between savings and investments, reduces friction and boosts customer retention. Reports conducted on millennial and GenZ consumers stated that customers are more likely to remain loyal to platforms that offer embedded banking services.
Many fintech businesses are hopping on the trend of integrating savings accounts to complement their existing products, and this has attracted many customers to switch from high street bank accounts.
A business case study of Chip, the wealth management app, shows the importance of integrating cash savings products. The company started its own savings account in 2019, which picked up in 2023, leading to a massive boost in user retention and AuM. Similarly, Flagstone announced that its business has benefited primarily as more customers now use their savings platform.
Our API and Griffin-powered easy access Savings Accounts
With WealthKernel’s API-first infrastructure and Griffin’s savings accounts, businesses benefit from a low-build setup and rapid deployment. Following our partnership, businesses can now access a new account type of easy-access Cash Savings Account that will enable their customers to transfer cash into or withdraw cash from their savings account.WealthKernel is an FCA-regulated custodian, meaning all client money is held in segregated client money bank accounts.
WealthKernel is also responsible for safeguarding client money and maintaining records, accounts and reconciliations. Our move into savings accounts is about helping create better businesses with better infrastructure while delivering good customer outcomes. By making savings a natural part of fintech offerings, we’re tapping into the customer movement trend and helping fintechs and wealth managers build a more complete proposition.
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All eligible deposits up to £85,000 per depositor per bank are covered by the Financial Services Compensation Scheme (FSCS).
If you’d like to know more about our new easy access savings integration, check out our Easy Access Savings Account Page. You can also get in touch with our sales team here.
