8:35 am, February 25, 2025
The AA has teamed up with NatWest to offer instant access savings accounts in a bid to help members cover the costs of motoring.
The organisation says that it hopes to have the scheme live by the end of next month, with personal loans set to follow as part of a partnership with NatWest Boxed.
The scheme aims to help people budget for all their motoring needs, with the idea being that the money can be put towards expenses like driving lessons, emergency repairs or car purchases.
Further details are expected to be announced when the services are launched but the savings accounts will have the protection of the Financial Services Compensation Scheme (FSCS), which compensates customers when financial institutions go bust.
The AA also says the initiative will include a differentiated product range for its personal breakdown members and insurance customers.
It added that savings and personal loans are the ‘first step of a long-term partnership’, which will see the group work closely with NatWest.
Jakob Pfaudler, chief executive of the AA said: ‘We are delighted to announce this financial services partnership with NatWest Boxed as we continue to broaden the range of services we offer our members.
‘This partnership demonstrates our strategy to drive growth by expanding our driving services and is supported by the strength of our brand.
‘We look forward to working with NatWest Boxed to ensure we are able to offer the products and services that really work for our customers’ needs.’
Launched in 2022, NatWest Boxed is a joint venture between NatWest and the European fintech company Vodeno.
It is designed to help businesses, such as the AA, to embed financial services like payments, savings accounts, personal loans, and point-of-sale lending directly into their customer offerings without the need to become a bank themselves.
The operation is backed by NatWest but operates as a separate entity to the bank.
Reacting to the partnership with the AA, Andrew Ellis, chief executive of NatWest Boxed, said: ‘We are proud to support the ambition the AA has for its customers, using our technology, balance sheet, operational support, and regulatory expertise to drive future growth.’
Rachel Springall, a finance expert at Moneyfactscompare.co.uk added: ‘It is great to see the AA reveal its partnership and that it will be launching both an instant access savings account and an unsecured personal loan.’
‘More choice in the market is great news overall and there will be loyal members enticed by the new deals once they surface.
‘However, on the flip side, it’s always wise for consumers to shop around for any deal, whether it be insurance, savings or loans, just to ensure they are getting the best possible deal.
‘The convenience to use one brand is great to save time, but customers need to make sure this does not come at a cost to them.’
