Is the new Chase bonus offer worth it? It raises the savings rate to 475 percent

Although Chase's most recent sale puts it at the top of the best-buy tables, there are a few things to be aware of

With a new bonus interest rate, Chase is trying to recover after a series of reductions in savings rates and, more recently, a reduction in its cashback program.

The digital challenger bank is offering new customers who open a savings account a six-month bonus of 1.75 percent AER. When combined with the 3 percent underlying rate, this raises the total deal to 4.75 percent AER.

For those seeking an easy-access account, Chase now provides the best savings rate available.

There are some restrictions, though.

Only new clients are eligible for the offer. Customers will only receive the underlying interest rate, which is currently 3 percent AER, after the six-month bonus has ended.

In addition, the underlying rate may decline even more in the upcoming months. Indeed, it is probably going to be slashed before the six-month bonus period even ends.

This is so because the underlying rate follows the UK base rate, which is set 1 point 5 percent below it. Every time the Bank of England lowers interest rates, the rate decreases.

Before the year ends, three more base rate reductions are anticipated, bringing the base rate down to 3 percent. Chase's underlying rate would drop to 2 percent if its terms and conditions stayed the same.

Although the effects may take a little longer to manifest, other savings providers will also lower their rates when the base rate declines, even if they do not use a tracker approach.

For those seeking an easy-access savings account, the Chase offer does, however, have some alluring features, such as a large account limit and no fees, charges, or penalties for withdrawals.

To open a linked saver, you must have a Chase current account. The existing account has no fees and provides 1% cashback. It is important to note that due to a recently announced change in the terms and conditions, fewer transactions will be eligible for cashback starting on April 7.

"We want to help customers reach their savings goals by providing them with a simple and straightforward way to save," stated Shaun Port, managing director of savings at Chase UK, in response to the most recent savings offer.

We hope that by raising the bonus offer to 175 percent on our easy-access saver for new customers, they will be more inclined to try Chase and increase their earnings.

Leading accounts for easy access to savings.

These are the best easy-access savings accounts available at the moment.

Moneyfacts is the origin.

The best defense against rate cuts is a fixed-rate agreement.

A fixed-rate savings account will give you a guaranteed rate for a predetermined amount of time if you want to guard against future rate reductions.

If you know that you won't need the money for a year or two, a fixed deal might be a good option. Any longer, and you might want to think about investing it instead.

As long as you have some of your yearly 20,000 tax-free allowance left over, you can still open a fixed-rate cash ISA before the tax year ends on April 5th if you move fast.

Check out our compilation of the top cash ISAs and fixed-rate savings accounts.