Lloyds Classic Plus 6% - is your interest correct this month?

Milarky wrote: »

It was a fixed-bonus rate equivalent to 2% pa on top of the variable rate (then 4%, now 3.5% - probably 2% after 1 December...)

yep, that how I remember it, 2% extra until june 2009 (it was a 12 month 2% bonus)

Dagobert wrote: »

The Classic Plus rate is at 3% AER (2.96 gross) w.e.f. 1/12/2008, see TSB rates and charges.

Can anyone confirm the previous rate reductions with date?

It was 3.5% AER (3.45 gross) from 3/11/2008 (coincident with the statement period - 3/11/08 to 30/11/08 inclusive) With bonus, the rate for last month would be 5.37 gross, and the rate for this month becomes 4.89 gross. So from this we can assume that Lloyds will only next change their rates on this account from 2 January (first working day) so that the rate doesn't alter during the statement period

Dagobert wrote: »

The Classic Plus rate is down to 2.5% AER w.e.f. 2/1/2009.

Presumably, the 2% bonus takes it to 4.5% AER = 4.4% gross.

'2/1/09' [unchanged from January]

Still a good rate - worth keeping topped up (e.g. I've now moved some Tesco [4%] money in there!! )

..also, as experience indicates, Lloyds will only change the rate at the start of a month (corresponding to complete statement periods) So we have a certain 'stability' with the rates on this account.....

Are Lloyds TSB still making a hash of the interest calculations?

In November, they wrote to me that they had to make an interest adjustment for August. In January, they sent another letter saying that the correction had been incorrect and an additional adjustment had to be made for August!

For December, I received £2.77 net (£3.46 gross). Based on Milarky's gross interest of 4.89% in [post=16382337]#135[/post] it should have been £1.53 gross.

magpiejay wrote: »

So, with the Current Plus bonus applied, the rate is only marginally better than the top 'Vantage' rate (4% at £5-£7k). If you're lucky enough to have £7,000, am I right in thinking you're now better off with Vantage?

Not in my opinion. The vantage does pay 4% but only if you keep your balance in a range of 5k-7k. In effect you have to 'give' them £5000 permanently. It is therefore only of value if you can't get 4% elsewhere on no-notice savings. Keeping a lesser amount at a slight premium of 4.5% still looks better (at the moment) although, as you suggest, there is not much in it...