natwest isa 7.32%

ozzage

She wasn't already a Natwest customer, right?

They make you open a normal current account if you don't already have one, so that if you transfer too much into your ISA they have somewhere to put. I suspect that's what the "other form" was. As I understand it, this is quite normal.

It only takes 5 minutes to fill in so seems quite extreme to "give up" and then want to make a complaint about it and take your business elsewhere!

YorkshireBoy

ozzage wrote: »

They make you open a normal current account if you don't already have one...

I think you'll find the 'over-spill' account can be a savings account...it doesn't have to be a current account.

masonic

YorkshireBoy wrote: »

I think you'll find the 'over-spill' account can be a savings account...it doesn't have to be a current account.

It depends where you go to apply. I was told it was branch policy to bundle all of these accounts with a current account, irrespective of what I'd heard applies elsewhere.

YorkshireBoy

masonic wrote: »

It depends where you go to apply. I was told it was branch policy to bundle all of these accounts with a current account, irrespective of what I'd heard applies elsewhere.

Really? Cross-selling in the extreme!

I must say my experience so far has been good. I applied late (get rid of the rush )...in branch, CSA very knowledgable, said I could use my E-Savings account for any spill-over, monies left previous ISA provider 13 days later and currently in transit. Just have to wait for them to appear at NatWest now.

Milarky

mar7t1n wrote: »

I find this totally unacceptable. The sending and receiving institutions are in collusion. Whenever you see an ISA rate you actually need to divide by 12 and multiple by 11 to account for the potential 30 day 0% interest period. So natwest's 7.32% rate is more like 6.7%. They do agree to run the 12 month rate from the date they recieve the money, but as I have consolidated funds from 2 providers that date actually started a month ago as The Abbey did what they should within 2 weeks, and the money was only out of interest for 4 days.

They should not be sending cheques for £30,000k about which might get lost, especially with half the banks on the brink of collapse.

Martin Lewis can you do a program on this issue, and a template letter for us please or should we write to Watchdog....

I quite agree with you. A system where you are considered 'lucky' to be losing 'only' 6 or 7 days interest on your own money is totally unacceptable. Unfortunately this system was bestowed on us by a Mr G. Brown - a senior public servant who is notorious for not accepting he ever made any mistakes... [Note that ICEsavers with ISAs will receive cash plus reinvestment certificates - like they used to give out with maturing TESSAs in the 90s but that the HMRC has ruled out moving to ISA reinvestment certificates for general use - when doing so would break the potential log jam created by the current system of cheques and balances (ho, ho!)]

The latest BBA cash Isa transfer guidelines - whilst they are better than a couple of needles up your nose (for instance, requiring the New manager to initiate a chase up with the old provider) are silent on where the interest not being paid to the 'investor' during the time should go.

Angela Knight, of the BBA, is currently uncontactable by mere mortals who have heard her claim (inaccurately) that: "..and another part though of how these guidelines fit together is to remove any dead periods as far as interest is concerned."

[Interveiwer]: "Will people get interest during that period?"

and again: "Well that is what these guidelines set out and that, it is not the intention for there to be any dead areas as far as interest is concerned."

[Interviewer (trying to clarify what that remark amounts to)]: "So people will get interest, in the bank they’ve got the ISA in now, they’ll get interest up to a particular date and the next day they’ll get interest from the new bank?"

The response: "That is, that is what we’re intending to do, yes."

http://news.bbc.co.uk/1/shared/spl/hi/programmes/money_box/transcripts/08_08_30.pdf

Well they haven't agreed to this at all. But neither has the BBA issued a correction to remove the impression given that banks will pay interest for the 'dead periods' she mentions.

(Anyone wanting to try their luck at getting this responded to can mail her assistant [EMAIL="john.letizia@bba.org.uk"]john.letizia@bba.org.uk[/EMAIL] and ask when a correction or statement will be forthcoming. He's a pleasant enough chap but it was his boss I wrote to)

Bisoy

My experience with the natwest has been good so far. My YBS Isa has already been credited. My Egg Isa is already on transit hopefully should arrived this week. Last but not least once FSCS started to actioned ICESAVE ISA accounts then I'll just deposit a cheque to my natwest ISA along with the ISA certificate from FSCS.

anna42hmr

still no transfer money showing on my online account yet, so 9 days in the abys so far from my previous provider sending them the cheque

Canny_mal

Following this morning's annoucement of a further 1.5% cut in interest rates if Natwest do as they did after the last cut and pass it all onto their ISA customers all of a sudden those eye catching rates don't look very good at all.

Assuming they reduce their rates by the full 1.5% their new gross rates for anyone who transferred in time to get the full 2% bonus will be as follows...

£27,000+...................5.15%
£18,000 - £26,999.....5.01%
£9,000 - £17,999.......4.72%
£1 - £8,999............... 4.52%

What a difference a few weeks can make!!! Now I'm left wondering if it's worth saving at all.

poppy10_2

Canny_mal wrote: »

Now I'm left wondering if it's worth saving at all.

That was exactly the point. They don't want you to be prudent and save. They want you to spend spend spend, to save the economy.

anna42hmr

Canny_mal wrote: »

Following this morning's annoucement of a further 1.5% cut in interest rates if Natwest do as they did after the last cut and pass it all onto their ISA customers all of a sudden those eye catching rates don't look very good at all.

Assuming they reduce their rates by the full 1.5% their new gross rates for anyone who transferred in time to get the full 2% bonus will be as follows...

£27,000+...................5.15%
£18,000 - £26,999.....5.01%
£9,000 - £17,999.......4.72%
£1 - £8,999............... 4.52%

What a difference a few weeks can make!!! Now I'm left wondering if it's worth saving at all.

it makes me wonder too, oh well tough times ahead for savers i think