TSB Monthly Saver rate to drop

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planteria
planteria Posts: 5,321 Forumite
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in Savings & investments
i received a letter advising me that my Monthly Saver is coming to an end, and that it will be moved to the Easy Saver, paying 1%.

the letter also guided me to set up a new Monthly Saver, but that can't be done, despite the way the letter is worded, until the previous one has closed. similar to with HSBC in that respect.

but also have been told that the rate will shortly drop from 5% to only 2%.. at that rate i shan't bother:naughty:.

http://www.tsb.co.uk/savings/monthly-saver/
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  • mapk
    mapk Posts: 157 Forumite
    edited 8 June 2016 at 2:17PM
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    The link says Get an interest rate of 5.00% Gross/AER* fixed for a year. Where have you heard about a drop from 5% to 2%?

    Lloyds MS is dropping from 4% to 3%.. shape of things to come?
  • redux
    redux Posts: 22,976 Forumite
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    I haven't spotted anything on that page that says the rate will be dropping.

    Is that something in the letter, or was it maybe a verbal comment somewhere?
  • planteria
    planteria Posts: 5,321 Forumite
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    sorry, you are right.. not in the letter, or on the link. the link is to the existing terms. i have been told in branch that the rate by the time my existing MS comes to an end in July, will have dropped from 5% to 2%.
    disappointing re. Lloyds too. i wasn't aware of that.
    these Regular Savers have been a handly little option, and i currently have 5 running.. but it seems that the rates could be heading south:(
  • B_G_B
    B_G_B Posts: 502 Forumite
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    Perhaps they will launch 552. Hasn’t quite got the same ring to it though.

    http://www.tsb.co.uk/news-releases/tsb-launches-555/
  • fun4everyone
    fun4everyone Posts: 2,340 Forumite
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    Shame if true, I enjoy my 5% TSB monthly saver.
  • zolablue25
    zolablue25 Posts: 1,652 Forumite
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    B_G_B wrote: »
    Perhaps they will launch 552. Hasn’t quite got the same ring to it though.

    http://www.tsb.co.uk/news-releases/tsb-launches-555/
    Seeing as the cashback is due to end at the end of the year it looks like becoming 502.
  • planteria
    planteria Posts: 5,321 Forumite
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    It does, although I've just been told by the call centre that they have no indication that the 5%MS rate is set to drop. I can't apply for my next one until 19th July, so I'll see what is available then..
  • freezspirit
    freezspirit Posts: 994 Forumite
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    I have a question I opened one online on 21st July 2015 so S/O started on 22nd, was then changed to the 4th of the every month. So 12 S/O have now been taken do I delete the S/O for the 4th July or see if it is accepted. It matures on the 23rd of July.

    Last time the rate went now after mine finish a member of staff said to keep an eye online as within a couple of months it would go back up which it did. It seems once they lose a lot of customers they try and get them back.
  • Be_Happy
    Be_Happy Posts: 1,391 Forumite
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    edited 8 June 2016 at 4:34PM
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    I was in branch getting a savings review a couple of days ago and was told that when my regular saver ends in August, I will be offered a new one but the rate will have dropped to 2% on the new one.

    Don't understand why the call centre does not know this.

    Forgot to add. As part of the review I was opening a Classic Plus Current account in my name as well as our existing joint account. I was told that although the 5% contactless cashback will end in December on the existing account, the 5% contactless cashback on the new account will not end until September 2017. Seems this applies to all Classic Plus accounts opened since 1 June 2016.
  • planteria
    planteria Posts: 5,321 Forumite
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    interesting that you were told the same as me then Be Happy.

    and let's hope you are right then freezspirit. on/around 19th July i will look to set up a new Monthly Saver. if the rate is 2% i won't. but if they bring back 5% i'll get back on board.
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