Aldermore Business Savings Account Review

Aldermore, founded in 2009, was one of the UK’s first challenger banks. As well as mortgages and business finance, Aldermore offers award-winning easy access and fixed-rate business savings accounts with a competitive interest rate. 

In this review, I’ll cover these accounts in great detail, comparing their functionality, interest rates and reviews to other top business savings accounts in the UK to help you make up your mind.

Aldermore Bank Savings: Our Verdict

As the Best Fixed Rate Business Savings Provider 2022, Aldermore has an impressive reputation and has earned an ‘excellent’ Trustpilot score.  

Offering easy-access and fixed-rate savings options, Aldermore offers competitive interest rates and a significantly lower minimum deposit (£1,000) than similar business savings accounts.

However, they don’t have an app or physical presence, which could make account management less convenient. They’re also not a full-service bank, and this lack of product offering may be an issue if you prefer to deal with one bank for all your financial needs. 

Pros & Cons of the Aldermore Business Savings Account

Key Account Features

For a savings account you don’t need to manage digitally on a daily basis, Aldermore has an array of fairly standard features, as follows:

• Flexible Options: There are various account options, including an easy-access account with unlimited withdrawals and fixed-rate accounts with guaranteed interest rates.
• Competitive Interest Rates: Easy-Access Business Savings Accounts earn a variable interest rate of 3.25% AER, whilst the Fixed-Term Business Savings Account comes with a guaranteed rate of interest between 3.60% AER to 4.35% AER depending on the length of term you choose. 

• Minimum & Maximum Balance: The minimum deposit for savings accounts is £1,000, and the maximum account balance is £1,000,000.
• Interest Payment: You decide when you are paying interest on your savings, either monthly, annually or at maturity. 
• Deposit Protection: Savings up to £85,000 are covered by the FSCS, giving you peace of mind. 
• Changed Your Mind?: A 14-day cooling-off period for Fixed-Rate Savings Accounts allows you to close your account without giving notice or paying a penalty fee. Easy-Access Savings Accounts can be closed at any time. 

Types of Aldermore Business Savings Account

There are three different Aldermore Business Savings Accounts to choose from.

The table below shows you the main features and differences of each.

Aldermore Easy-Access Business Savings Account

The Aldermore Business Savings Easy Access Account offers an interest rate of 3.25% AER, with gross annual interest at 3.25% and gross monthly interest at 3.20%.

Interest is calculated daily and can be paid monthly or annually. You can choose where you want your interest paid – either to your Easy Access Account or your linked current bank or building society account.

The interest rate is variable, meaning Aldermore can change it, either increasing or decreasing, based on the terms and conditions outlined in your Business Savings agreement.

You will be notified of changes to your interest rate through e-mail:

• Within 30 calendar days of interest rate increases 
• At least 14 calendar days before interest rate decreases.

If you do not contact Aldermore by the date specified in the e-mail, they will assume that you have accepted the change in interest rate. 

The minimum deposit to open the account is £1,000, with a maximum balance of £1,000,000. Additional deposits can be made anytime, and you can close the account without penalties or notice.

Withdrawals are fee-free and unlimited, allowing transfers to linked current accounts or other business savings accounts that accept deposits.

Aldermore Fixed-Rate Business Savings Accounts

Aldermore offers two Fixed-Rate Business Savings Accounts with varying terms and interest rates.

• The 6-Month Fixed Rate Business Saving Account offers an interest rate of 3.6% AER, with gross annual interest at 3.57% and gross monthly interest at 3.51%. 
• The 12-Month Fixed Rate Business Saving Account offers a better interest rate of 4.35% AER, with gross annual interest at 4.35% and gross monthly interest at 4.35%.

Like the Easy-Access Business Savings Account, interest is calculated daily, and you can choose to have it paid monthly, annually or at maturity into your Fixed Rate Savings Account, Easy Access Account, or a different linked current bank or building society account. 

The interest rate is fixed, which means you are guaranteed to receive interest at this rate for the duration of your term. 

The minimum opening deposit is £1,000, with a maximum account balance of £1,000,000. After making your initial deposit, you will have a further 14 days to add funds to your account. After this period, your money will be locked away for the duration of your term, and you will be unable to withdraw. 

There is a 14-day cooling-off period during which you can close your account without penalties or notice. After this period, you can only close your account once it matures. 

Who is Eligible for an Aldermore Business Savings Account?

To apply for an Aldermore Business Savings Account, you must:

• Be either a limited company, limited partnership, limited liability partnership, partnership or sole trader
• Have a business that is a tax resident only in the UK
• Be over 18 years old
• Be a UK resident
• Be a tax resident only in the UK, including all controlling persons, significant owners and directors. 
• Make a minimum deposit of £1,000, not from client money or an account held in trust.
• Have a UK mobile phone number and e-mail address.
• Have an eligible UK current account in your business’s name, allowing electronic transfers. 

Who Isn’t Eligible

You are ineligible to apply for a Business Savings Account at Aldermore Bank if you are:

• A US citizen
• A club, society or charity
• A business with trustees or accounts held in trust

Similarly, businesses involved in the following industries are unable to open an account:

• Defence activities such as arms manufacturing and dealing
• Chemical manufacturing
• Gambling and betting
• FATCA and CRS Financial institutions
• Banking, including trade finance or money service bureaus

Aldemore Savings Fees and Charges

No, Aldermore Business Savings Accounts don’t have account fees, but you may be charged for non-standard services. 

What’s Aldermore Customer Service Like?

Aldermore doesn’t have any physical branches, but if you need support or assistance with your business savings account, you can:

• Send a secure message through online banking on the Aldermore website.
• Call the customer service team between 8 am to 6 pm, Monday to Friday (excluding Bank Holidays)
• Email the dedicated business savings team
• Send a letter to the Aldermore Business Savings team by post.

How Goods is the Aldemore Online Banking Experience?

Your account is managed entirely online on the online banking platform accessed through Aldermore’s website. 

You can use the user-friendly platform to:

1. Check your interest rates and savings balances
2. Provide maturity instructions 
3. Update your contact information and linked nominated bank account information.
4. Update where you want your interest to be paid
5. Essential account management, including checking transaction history
6. Access statements
7. Open another Aldermore account
8. Make withdrawals

When your account is opened, you will receive a user ID, enabling you to create a password.

Each time you log in to online banking, you will receive a one-time passcode, adding an extra layer of security to your account. 

The security of their website is Aldermore’s top priority, with a comprehensive range of the latest technology and safeguards in place, including encryption, firewall protection, and online certificates. 

Aldemore Customer Reviews & Ratings

Aldermore has an ‘excellent’ overall TrustScore of 4.5 out of 5, based on 4,120 reviews on Trustpilot, 80% of which are 5-star reviews. 

One positive review highlights the ease of the process, mentioning excellent service and the ease of obtaining statements. Another positive comment praises Aldermore’s competitiveness, efficiency, and professionalism, specifically in dealing with Fixed-Term Savings Accounts.

However, some users have expressed frustration with the time taken to process an application, questioning the difficulty of opening an account. There are also mentions of specific issues, such as freezing an account for additional checks and challenges with account withdrawals. 

How to Open an Account at Aldermore 

Easy Access Business Savings Accounts

1. Application: Open your account online by completing the business savings account application on the Aldermore website.
2. Identification Verification: Your identity and address will be verified through ID such as a valid driving licence, valid UK passport and current bank statement. If further checks are necessary, Aldermore will contact you. 
3. Confirmation: When you have received confirmation that your business savings account is open, you can set up online banking using your e-mail address and mobile phone number. 
4. Interest Payment Frequency: You will be asked to decide how often you want to be paid interest from your savings, either monthly or annually. You will not be able to change the frequency of payment after deciding. 
5. Deposit: You must deposit at least £1,000 within 45 days of your account opening by BACS, CHAPS, Faster Payments, or another Aldermore account you hold in your business’s name. This deposit must come from an account in the business’s name and cannot come from client money. Payments must be made in Pounds Sterling. 

Fixed Rate Business Savings Accounts

1. Application: Open your account online by completing the business savings account application on the Aldermore website.
2. Identification Verification: Your identity and address will be verified through ID such as a valid driving licence, valid UK passport and current bank statement. If further checks are necessary, Aldermore will contact you. 
3. Confirmation: When you have received confirmation that your business savings account is open, you can set up online banking using your e-mail address and mobile phone number. 
4. Interest Payment Frequency: You will be asked to decide how often you want to be paid interest from your savings, either monthly, annually or at maturity. You will not be able to change the frequency of payment after deciding.
5. Deposit: You must deposit at least £1,000 within 30 days of your account opening by BACS, CHAPS, Faster Payments, or another Aldermore account you hold in your business’s name. This deposit must come from an account in the business’s name and cannot come from client money. Payments must be made in Pounds Sterling. 
6. Additional Deposits: After making your initial deposit, you will have 14 days to make further optional deposits into your account, after which you can only access your money once your account matures. 

Alternatives to Aldermore Business Savings Account

Aldemore Bank FAQs