Zopa blog
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Current account vs savings account: how to find the right fit for your finances
When it comes to opening a bank account, you’ll normally be choosing between two options: a current account or a savings account. But what’s the difference? And how do you know what’s the best option for your finances?
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Free current accounts: What to look for beyond ‘no fee’
Most current accounts in the UK don’t charge a monthly fee. So when a bank says their account is ‘free’, they’re really just describing the norm. A more useful thing to find out is: what separates a good free account from the rest, and what should you actually be comparing?
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Can you get a current account with bad credit?
If your credit score has seen better days, you might be wondering whether a current account is even an option. Spoiler: it is. In fact, there are several routes into everyday banking that don’t depend on a clean credit history – from basic bank accounts offered by most high street banks, through to accounts with more features but no credit checks, like Biscuit by Zopa.
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Who is eligible for a current account with cashback and interest?
Most cashback and interest-paying current accounts are open to anyone aged 18 or over living in the UK. A soft credit search is usually all it takes to check your eligibility and some banks, including Biscuit by Zopa, don't require a hard credit check to open an account at all. The main thing to get your head around is that qualifying for the account and qualifying for the rewards are two slightly different things.
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How to open a bank account in the UK: what you need and what to expect
To open a bank account in the UK, you’ll need a photo ID and proof of address. Most banks let you apply entirely online through your phone, with your account active the same day. Some digital banks, like Zopa, need even less documentation – making it one of the more painless things on your UK to-do list. Whether you’re setting things up before you arrive, sorting it out in your first week, or simply switching to something better, here’s everything you need to know.
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Your Personal Savings Allowance Explained
Just like most other forms of income, you may need to pay tax on the interest you earn from saving. But there are plenty of legitimate ways to reduce that tax – often to zero. One of the most useful tools is your personal savings allowance (PSA): a chunk of savings interest you can earn each year completely tax-free. There are also other allowances and tax wrappers – like Zopa’s Cash ISA – that can help keep your tax bill low. We've put together this guide to walk you through the essentials, so you can make the most of what's available to you.
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Balanced vs Bold: Which fund is right for you?
Choosing a ready-made investment fund is a quick, easy and affordable way to start investing. It takes a lot less time and experience than making your own investment portfolio from scratch, and it’s cheaper than having someone personally manage one for you. At Zopa, we offer two ready-made funds: Balanced and Bold. All you need to do is pick the one that suits you and the risk level you’re looking for. Here’s more information to help you choose.
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Should I save or invest?
Every other social media influencer seems to be investing – or so the algorithm would have you believe, anyway. And with investing more accessible than ever (thanks to digital platforms), it’s tempting to join them. But whether to save or invest your money is a personal choice – one that depends on your financial situation, your short-term needs, and your long-term goals. In this guide, we’ll help you decide which makes sense and when.
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A beginner's guide to shares
Chances are, you've heard of shares. They're one of the most widely known types of investment but that doesn't mean they're widely understood. The industry jargon might put many people off, while others balk at the seemingly mysterious movements of the stock markets. Here, we cut through the jargon and mystery to explain shares in simple terms.
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