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Comparing the Best Digital Banks and What They Offer

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Digital banking has become more popular throughout the years, especially in the UK, as 12 million people in Britain have begun to use digital-only bank accounts.

But because of the rise of popularity of digital banking, many online banks have come out offering different products and services, and if you are new to digital banking, you might find it hard to compare bank accounts. That is why people often ask,  “What are the best digital banks in the UK?”

4 best digital banks in the UK

Below is a shortlist of the UK’s four best digital banks in no particular order.


This digital bank has been tailored to help small business owners get a good head start in business banking. After you have made an account, you will be given access to a Mastercard debit card. Other features include invoice management, automatic invoicing, access to various employee cards and even 1% cashback on your business expenses.

The only downside is they don’t have other features of fully-fledged business accounts like a line of credit or overdrafts But if that is no problem for you, then this digital bank would be perfect.


If you are currently working as a freelancer, it would be best to add Wise as a freelancing tool. As you may know, freelancing requires you to take on various jobs from people from different countries.

Wise is known for being one of the best in terms of currency exchange and money transfers. They even boast their low-cost money transfer as being eight times cheaper than regular banks. Plus, you get no fees if you receive USD, EUR, AUD, and GBP payments.

But not everything is flawless. For example, if you make large transfers, those who specialize in it give cheaper options. That is why Wise is best suited for freelancers that do small projects. or do not receive large payments

Starling Bank

If you are looking for an all-rounder digital bank, then the best choice is Starling Bank. Its digital banking app has become one of the strongest in the UK market right now. In only a matter of minutes, you are already given access to a full UK current account that you can manage directly via their app.

Some notable features are access to an overdraft and interest paid on your balance. But unfortunately, advanced features like mortgages and complex lending forms are still not available. But if you want to have a main account in a digital bank, then it’s best to choose Starling.

Atom Bank

If you want to have a good savings account, then Atom bank is the digital bank for you. Atom bank specializes in saving accounts. They have also laid out a range of various Fixed Savers Account with competitive rates online.

Setting up an account will take a few minutes, and you will get a clear look at your savings and their interest rates. The fixed savings account can range from six months to five years, and the annual interest rate you can get for a 6-month term is 0.15% AER and 1.40% AER for a 5-year term.

But the problem is you will not get a bank card, plus there are other features that they cannot give, unlike full bank accounts. 

Still, if you are looking for a good savings account, Atom Bank is your best bet.


With digital banking becoming more popular and various online banks appearing in the UK market, it can be hard for someone to compare bank accounts and find the one that is tailored for their needs. So hopefully this article has helped you see what the best digital banks in the UK are and what they are offering.