We calculate interest on capital cash balances in certain currencies that are held in your account(s) with us. The interest rate applied will depend on the currency of the cash and the banks where it is held and it may be zero or negative (please see further below). Our current interest rates are:
| Currency | GBP | USD | EUR |
|---|---|---|---|
| Rate | 4.24% | 4.10% | 1.56% |
The rates on this page were last updated on 2nd April 2024.
We place client money with a number of banks in order to ensure diversification across a number of financial institutions so as to minimise the risk of default. The interest rate we receive from these banks does vary institution by institution; for GBP balances the deviation from the Bank of England bank rate is -1.56% to -0.15%. Deviations from the base rate on USD balances and Euro balances may be better or worse. Quilter Cheviot currently retains 0.75% of the blend of interest received from the various banks it uses and pays the remaining balance to you as detailed in the currency table above.
Please note:
- Payment of any interest is subject to the amount earned exceeding £5/€5/$5 each quarter (as applicable).
- We do not pay interest on income cash balances or in currencies not listed in the table above.
- Interest is calculated on daily cleared balances, is accrued monthly and is due and payable quarterly during March, June, September and December.
- If we are subject to a charge in the form of a negative interest rate, we may pass this onto you from the balance you have in that currency (see below).
- Interest is paid gross without any tax deducted. It is your responsibility to report and pay any tax due under self-assessment to HM Revenue and Customs (HMRC) or any other relevant tax authority.
- Any changes to the rates we use to calculate interest will be published on this page.
Negative interest rates on credit balances:
Banks may apply an interest charge for cash balances held in certain currencies. If we are subject to such a charge, we may pass the cost of holding that cash onto you as a negative interest rate by deducting the relevant amount of that currency from your portfolio on the first working day of each month. The currencies which are currently subject to negative interest rates are:
| Currency | Rate |
|---|---|
| None | Not applicable |
Interest on overdrawn balances:
In accordance with our terms and conditions we may pass the interest owed to us on overdrawn balances onto you.
Quilter Cheviot’s Diversification Policy:
We hold your money across a number of banks, in line with our diversification policy. The banks we select are authorised and regulated by their local regulatory authority; for banks in the UK this is the Prudential Regulation Authority. All the selected banks are also subject to internal approval by our Client Money & Counterparty Forum (CMCF). The CMCF has responsibility for overseeing the banks used to hold your money and the overriding premise of any decision is the security of your money. In the unlikely event that any of these banks cannot pay what they owe you may be entitled to claim compensation from the UKs Financial Services Compensation Scheme (FSCS). For more information please see www.fscs.org.uk/.
Please click here for Quilter Cheviot’s International Ltd’s (QCIL) schedule of interest rates.