New Northern Rock 6.5% savings account

Northern_Rock

As per martins email but when i go to northern rock website no account with this rate exists, have refreshed pages and cleared cache, i presume the account has not launched yet or i have misread his email, can anyone else confirm if they can see this account on the NR website? thankyou.

DeepSporran

Try here.

The 1 Yr Fixed Rate Bond Issue 314 (Annual) pays 6.5% gross. Think that's the one Martin is referring to.

Northern_Rock

Thankyou very much, anyone care to share views on this latest package from NR, i am thinking of transferring my esaver account savings (NR) to this fixed rate bond to take advantage of the higher rate, i dont need access to the money for this term and initial impressions to me is that its a good deal but i have little experience with bonds, i decided to save with northern rock as its currently backed 100% by the goverment and i had over £35000 to save and wanted my savings in one place

Davesnave

Northern_Rock wrote: »

Thankyou very much, anyone care to share views on this latest package from NR, i am thinking of transferring my esaver account savings (NR) to this fixed rate bond to take advantage of the higher rate, i dont need access to the money for this term and initial impressions to me is that its a good deal but i have little experience with bonds, i decided to save with northern rock as its currently backed 100% by the goverment and i had over £35000 to save and wanted my savings in one place

I think it depends on your attitude to risk. If you sleep more peacefully and don't have time to keep fiddling around with accounts, then NR is a safe bet. Kaupthing and others are offering over 7% for the same sort of thing, but I wouldn't put more than £35k with them or any other non government-backed institution.

My DW and I have NR accounts to use as 'safe havens,' but at present we are still going for max interest, especially as inflation is headed for 5%+. However, we have the time to fiddle & chase the best rates and no real worries if an FSA- backed institution goes mammaries-up as, like you, we don't need access to the cash in the medium term.

I imagine you have also considered your tax position and the possibility of investing longer term in NS&I?