Plum

Who they are

Plum launched in 2016 and is authorised and regulated by the Financial Conduct Authority. It was founded by Victor Trokoudes and Alex Michael, who built an algorithm that monitored spending and put aside an affordable amount each month - automating the savings process without requiring a change in spending habits. Today the app sits somewhere between a savings platform and a money management tool. Users can view their bank accounts in one place, see an overview of their spending, automate deposits and invest - with AI used to analyse spending habits and recommend tailored deposit amounts. The app has more than two million customers across Europe.

One important thing to understand about the protection picture: Plum is not a bank in the traditional sense. Funds held in a general Plum account are not covered by the FSCS, as the company is not a licensed bank - but Plum is authorised and regulated by the FCA as an e-wallet money agent of Modulr. The savings products listed on this page are different: all carry FSCS protection up to £120,000 per person. That protection sits under the licence of whichever partner bank holds the money, not under Plum itself.

Savings accounts

Plum's headline product is the Cash ISA, which offers instant access and a variable rate that includes a conditional bonus - you need to keep your money in place for 12 consecutive months and meet other conditions to earn the full rate. The rate shown on this page is the current figure; check it before you open, because it moves. The ISA is not flexible, so any money you withdraw cannot be replaced within the same tax year without using fresh allowance.

The Lifetime ISA is available for both new money and transfers in from other cash LISAs. The transfer product carries its own rate, which is lower than the new-money rate - worth knowing if you are thinking of consolidating an existing LISA here. All LISA rules apply: the 25% government withdrawal penalty if you take money out for any reason other than a first home purchase or reaching age 60.

For straightforward easy access savings, there is the Easy Access Savings Pocket. Plum also offers a 95-Day Notice Pocket, though that account is exclusive to Plum Max subscribers, who pay £14.99 a month for the top subscription tier. Factor that cost in when comparing the rate.

Is it right for you?

Plum suits savers who like automation and are already comfortable with app-based money management. The auto-saving features and spending analysis can genuinely help people who struggle to set money aside manually. The automatic saving amounts can occasionally be too aggressive around bill payment dates, and paid features may not be worth the monthly cost for lighter users.

On rates, Plum competes well in the Cash ISA market - but the bonus structure means the headline figure is only the full picture for the first year. If you are not the type to switch when a bonus ends, the underlying rate matters more. The notice account is only accessible on the priciest subscription plan, so run the numbers on whether the rate premium justifies £14.99 a month.

Check the live rates on this page for the current figures before you decide - they change, and what matters is what Plum is paying today compared with the rest of the market.