Tesco launches online services

 

The explosion in online banking continues with Tesco customers able to service their savings account online.

You can check your balance, get a payment history, make deposits or move money to another account through your computer. Unfortunately, an application for the Instant Access Savings still has to be printed off and sent through the post, because a signature is required to open the account.

Supermarket savings accounts once blazed a trail with high rates and easy access, but in recent years have fallen back. Tesco pays 4.5% gross, or 4.65% on balances above £3,000. In contrast Legal & General offer 6.26% gross.

Tesco's website also offers online applications for its loans and credit card. In contrast to the savings account, these are some of the most competitive on the market. For example, you can borrow £3,000 over three years with Tesco at an APR of 12.5%. Tesco's Visa card interest rate is 14.9% for purchases, and if you switch from your existing card to Tesco, you enjoy a specially low rate of 5.5% for nine months. Tesco promise to give a decision the next day by post for online loan and credit card applications.