Revolut cuts rates on savings accounts

Revolut is cutting interest rates on most of its deposit accounts.

Revolut is cutting interest rates across most of its deposit accounts with standard and plus Instant Access Savings account rates falling to 1.5%. 

The decision comes after the European Central Bank cut rates earlier this month from 2.25% to 2%. On Friday, Revolut alerted customers that rates on the standard and plus account will now reduce to 1.5% from 1.7%, a reduction of (0.2%). Premium plans will reduce from 1.85% to 1.75% (-0.1%). The Revolut Metal rate is unchanged at 2%, while the Ultra account reduces from 2.5% to 2.25% (-0.25%).

The new rates will come into effect on July 13 for existing customers and immediately for new customers. 

"The upcoming adjustments to our rates are a response to the recent change in European Central Bank rate," a Revolut spokesperson said.

Revolut has more than 3m customers in Ireland.

Bank of Ireland announced at the start of the month that it is cutting interest rates on its 12 and 18-month fixed-term deposits by 0.25%. 

Last week, the ECB cut interest rates for the eighth time in a year, as it reduced by one-quarter of a percentage point to 2%. 

Austrian Central Bank governor Robert Holzmann said on Thursday that further cuts may now be paused unless economic data worsens.