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@greeno
Sorry I see that wasn't clear at all.
They make money out of what they call 'salaried' users. They identify someone who adds £1000 a month as a salaried user and it's those users that are profitable. Just found this quote - I don't think those numbers are quite right but I've read this a number of times in various articles:
Today Blomfield reported that average annual incremental revenue per customer is now +£4 and from salaried users (see caveats above) this sits at +£30, huzzah!
I guess they make interest from that money sitting with them but they also make money off each transaction someone makes - and it is these users therefore that generate the most income for them as they use their accounts as their primary account (so people like me).
They also do do loans, and yeah they make a margin off their saving pots with 3rd providers.