Home Current accounts Advertiser disclosure Chase vs Starling Is it better to bank with Chase or Starling? We take a look at both bank accounts to help you decide.By
Rachel Wait Edited by
Kate Steere Updated
Feb 2, 2024
Fact checked Navigate Current Accounts In this guide
Vital statistics Round 1: App features Round 2: Spending in the UK Round 3: Using the card abroad Round 4: Account types Round 5: Signing up Overall winner: Is Chase better than Starling? Chase is a relatively new player in the UK market, having only launched in 2021.The digital banking brand is owned by global finance giant JPMorgan and currently serves more than 56 million customers in the US.
In comparison, digital bank Starling was founded in 2014 and its app-based current account has become a popular option for UK consumers.
So, how do you choose between these 2 rivals? We take a look at some of their similarities and differences to help you decide.
Vital statistics Scores Finder
score Finder
score User
survey Free spending abroad Overdraft rate No overdrafts 15%, 25% or 35% EAR Interest when you’re in credit 1% 3.25% Branch access FSCS protected Sign-up bonus Amount N/A N/A Product image More Info Go to site
More Info With Chase’s free (and only) current account, you’ll get a blue numberless debit card, with your details stored on the app so only you can see them.Starling Bank’s free (and only) current account comes with a teal-coloured vertical card.
Neither bank has branches (Chase only has branches in the US), but Starling lets you withdraw or deposit money into your account at Post Office counters.This isn’t possible with Chase, but you can withdraw money from an ATM.
Chase pays 1% AER on current account balances and offers a linked savings account paying 4.1% AER.Starling has a rate of 3.24% AER interest on balances up to £5,000.
Starling has a UK banking licence and Chase is a subsidiary of JPMorgan which is authorised by the Prudential Regulation Authority (PRA) and regulated by the FCA and the PRA.In both cases, this means that your money will be protected by the Financial Services Compensation Scheme (FSCS) which covers deposits of up to £85,000 per person.
There’s no overdraft available on the Chase current account, but you can apply for one with Starling.
The interest you’re offered will depend on your personal circumstances and credit score , although Starling’s overdraft interest rate scale starts at 15% EAR.
In Finder’s 2023 Banking Customer Satisfaction Awards , Starling was the winner.It came first in our customer satisfaction survey, scoring 5 out of 5 stars, and 94% of its current account customers said they would recommend the brand to a friend.Chase was too new to feature in our awards so we are unable to compare ratings.
Round 1: App features Visual breakdown of spending Spending categories N/A 53 Set spending budgets Set up direct debits in the app Top up via bank transfer Have salary paid in Savings goals or pots Round-ups Customer service via the app Customer service via a telephone line Cheque scanning Freeze/unfreeze card in app Send money abroad Fee for sending money abroad International payments unavailable Local network fee + 0.4% Starling fee More Info Go to site
More Info You’ll find some similarities between the Chase and Starling mobile banking apps, but Starling’s has a little more to offer.Both give you a visual breakdown of spending, but with Starling your transactions will be automatically placed into pre-set categories such as eating out and groceries.This then generates daily, weekly to monthly spending insights so you’ll have a clearer idea of what you’re spending where and be able to set budgets.
Both apps also offer a round-up feature, where your spare change from transactions will automatically be rounded up and saved.Starling moves your money to a “Savings Space”, while Chase will move it to a round-up account paying interest of 5% AER.
Each year, Chase will move your round-up funds to your current account.
Your salary can be paid into either your Chase or Starling account, and you can set up direct debits.In addition, you can freeze and unfreeze your card in the apps, and contact the customer service teams through in-app chats.
With Starling, you can also make international payments, but this is not possible with Chase.
Winner: Starling.Its app offers a wider range of features, including spending categorisation and international payments.Round 2: Spending in the UK Free card transactions in the UK Contactless card limit £100 £100 Apple Pay Google Pay Samsung Pay Free ATM withdrawals Unlimited Unlimited More Info Go to site
More Info It’s free to spend on both the Chase and Starling cards in the UK and both cards have the standard contactless limit of £100.
You can also add your Chase or Starling card to Apple Pay, Samsung Pay and Google Pay.
However, Chase customers can earn 1% cashback on card spending for the first year (up to £15 per month), while there’s no cashback offered with Starling.
Both Chase and Starling offer free ATM withdrawals in the UK, with daily limits in place.
Winner: Chase.It’s so close but we’ve given it to Chase purely because you’ll earn cashback on your spending for the first year.
Round 3: Using the card abroad Free foreign transactions Unlimited Unlimited Free foreign ATM withdrawals Up to £1,500 per month Unlimited More Info Go to site
More Info Both Chase and Starling use the Mastercard exchange rate for foreign transactions and neither card charges a fee.
Foreign ATM withdrawals are also free for both, but there are limits.Chase has a limit of £1,500 per calendar month and you will not be able to withdraw anything over this.There’s also a daily withdrawal limit of £500 per day.
There’s no monthly limit with Starling, but the daily limit for cash withdrawals is lower at £300.
Winner: Starling.Again, it’s unbelievably close but Starling wins due to having no monthly limit on cash withdrawals.
Round 4: Account types Free account Premium account Joint account Teen account (for 16 and 17 year olds) Kids’ account or card Business account More Info Go to site
More Info Both Chase and Starling only offer the one personal current account which has no monthly maintenance fee.However, Chase lets you have up to 20 accounts open at once with a maximum of 10 saver accounts.
However, Starling also offers a joint account, business account and teen account, as well as a kids’ card called Starling Kite which is managed through the parent’s Starling account.Chase only offers a savings account.
Winner: Starling, for offering a wider range of accounts.Round 5: Signing up Apply through the app Quick application Credit check Card delivery fee Free Free Card delivery timescale 5-7 working days 3-5 working days More Info Go to site
More Info You can apply for both the Chase and Starling accounts through their respective mobile apps in just a few minutes.
Both only conduct “soft” credit searches (rather than a “hard” credit check) which will not affect your credit score.With Starling, once you’ve opened your account you’ll need to order your contactless Mastercard debit card via the app which should arrive within 3–5 days.Chase says you should also receive your card within 5-7 days.
Winner: Tie.The opening process is similar for both accounts.
Overall winner: Is Chase better than Starling? Both the Chase and Starling bank accounts have a lot to offer, which means this isn’t an easy decision to make.Both accounts offer streamlined apps to help you budget and save, fee-free transactions abroad and FSCS protection.
However, if we had to pick one, we’d say Starling takes the top spot.As well as being able to pay in and withdraw cash at the Post Office and apply for an overdraft, the Starling app is more advanced and also enables you to make international payments.
But what works for one person might not work for another, so if you’re not sure, you could always try both options to see which one works best for you.
We Further details about the Financial Services Compensation Scheme Rachel Wait
linkedin Rachel Wait is a freelance journalist and has been writing about personal finance for more than a decade, covering everything from insurance to mortgages.
She has written for a range of personal finance websites and national newspapers, including The Observer, The Mail on Sunday, The Sun and the Evening Standard.Rachel is a keen baker in her spare time.
Chase vs Monzo Virgin Money Club M current account review More
Nationwide FlexDirect current account review Discover whether the Nationwide FlexDirect current account is right for you.
Best current accounts & debit cards with cashback in the UK 2024 Learn how current accounts with cashback work, whether they’re right for you and how to find the best current account.
Best premier & premium bank accounts UK 2024 Premier bank accounts offer additional perks for people who hold significant sums with the bank providing them, and can be good value for money.We take a look at how they work, what features they offer and what the eligibility criteria can look like.
Revolut promo codes for February 2024 New to Revolut? Check out what it offers and see if you can save more with our discount codes and deals.
first
Revolut vs Monzo vs Starling We look at three of the biggest names in digital banking, and give our verdict on which is the best option for you.
Revolut vs Starling Mobile banking apps are often difficult to tell apart.We take a closer look at two of this new crop of “digital challengers”.
Starling Bank review Is the digital-only bank the right option for you? Read our review to get the low-down on all of Starling’s features and benefits.We cover everything from Starling’s overdraft service to whether the card can be used abroad.
2 Responses Buddy February 3, 2023 do any of the digital banks allow deposits and exchange in crypto currency?
Reply Finder Tey February 5, 2023 Finder Hi Buddy,
You can check our guide here to find a list of crypto-friendly banks in the UK.
Best regards,
Tey
Reply.