Who on here are spreading their savings?

wombat42_2

Anyone risk more than 35K in ICICI ?

cvd

To evanasus:

I have always had very good service from the Coventry BS for over 20 years. However their ISA rate is (or was) poor - I moved my ISA from them to the Yorkshire a few months ago when the Yorkshire was offering 6.3%. It took about 10 days and I lost 4-5 days interest which included a weekend.

It is now possible to merge your matured tessa account into an ISA account - they do not have to be kept separate - I assume it is in one of these follow-on tessa accounts whch have tax-free status.

evenasus

tiptoe_mouse wrote: »

evenasus wrote: »

The MATURED TESSA just sits there getting tax free interest but of course you cannot add to it.

It's a pity you didn't take the option of transferring this to an ISA within 6 months of maturity, as this would have kept it sheltered from tax. As it is, there's no benefit to keeping the money where it is since the interest will be taxed, so you might as well either put it in an ISA if you haven't used this year's allowance, or put it in a high-paying savings account. Do you know how much it's earning at the moment?

tiptoe

From Nationwide site - ISA Bond ex Tessa (formerly Tessa Maturity ISA Bond) pay the same rates as Instant Access ISA and Members' ISA Bond respectively.
The rate for this is 5.15% and is tax exempt still.
I did invest in an ISA as well as soon as they were available.

Oblivion

wombat42 wrote: »

Anyone risk more than 35K in ICICI ?

Having read some of the comments in these forums from customers who've experienced appalling customer service from staff who cannot even make themselves understood, I wouldn't risk 35p in ICICI.

Dave.

cvd

From Nationwide site - ISA Bond ex Tessa (formerly Tessa Maturity ISA Bond) pay the same rates as Instant Access ISA and Members' ISA Bond respectively.
The rate for this is 5.15% and is tax exempt still.

You can move this into their 1, 2 or 3 year fixed rate ISA bond and get 6.15% if you are sure you do not need access to it for a while.

evenasus

cvd wrote: »

To evanasus:

I have always had very good service from the Coventry BS for over 20 years. However their ISA rate is (or was) poor - I moved my ISA from them to the Yorkshire a few months ago when the Yorkshire was offering 6.3%. It took about 10 days and I lost 4-5 days interest which included a weekend.

It is now possible to merge your matured tessa account into an ISA account - they do not have to be kept separate - I assume it is in one of these follow-on tessa accounts whch have tax-free status.

Thank you, nice to know about good service.
I'm interested in their 50 Plus E Save account.

Didn't know I could merge the Matured Tessa with the ISA. The ISA Bond is paying an 5.25%. This would mean and extra £25.20 a year on the Tessa part. Not a lot - but look after the pennies etc.

evenasus

cvd wrote: »

You can move this into their 1, 2 or 3 year fixed rate ISA bond and get 6.15% if you are sure you do not need access to it for a while.

No, I don't need access but my original thoughts were to move money from them due to the 35K safety and they uncertainty of banking.

Does anyone have any thoughts on the safety of Nationwide. It is a building society and not a bank, so does not have the shares problem.

Not ususally keen on fixed rates, but do do short term ones. Got 6.5% on a 9 months fixed rate Halifax account a few months ago.

wombat42_2

Oblivion wrote: »

Having read some of the comments in these forums from customers who've experienced appalling customer service from staff who cannot even make themselves understood, I wouldn't risk 35p in ICICI.

Dave.

I have had about 30K in ICICI for about 3 years with no probs worth mentioning at all.

tiptoe_mouse

evenasus wrote: »

The MATURED TESSA just sits there getting tax free interest but of course you cannot add to it.

From Nationwide site - ISA Bond ex Tessa (formerly Tessa Maturity ISA Bond) pay the same rates as Instant Access ISA and Members' ISA Bond respectively.
The rate for this is 5.15% and is tax exempt still.
I did invest in an ISA as well as soon as they were available.

Aah - that's different then. Did Nationwide automatically roll the matured TESSA into an ISA for you, or did you have to sign something? Just curious really.

You'd have to check the terms of this ISA Bond (or check with Nationwide directly) to establish whether it can be transferred either to one of their products or elsewhere. I'd imagine you'd be tied into Nationwide for a fixed number of years - do you know how many?

tiptoe

tawse57

I think a question that needs to be asked is whether it is better to spread savings around in 35K pots between various banks, and possibly putting yourself at risk by having savings in a 'riskier' bank, or do you opt for an organisation, so I believe, such as the Nationwide or Leeds Building Society which I have read basically fund all their loans from their savings and hence are not as exposed as the likes of HBOS or B&B?

Another question, especially if you have a pot of money waiting to buy a house, is whether you fix interest rates now with 6 or 12 month bonds... anticipating a fall in IRs in the coming weeks... or do you keep the money in easy access accounts in order to be able to buy that 50% off house next Spring... or even to be able to bail out of a potentially failing bank? Then again, inflation might suddenly kick in and IRs might rise next Spring?

There is a great deal of uncertainty around now which is very worrying for tens of millions of us who have worked hard and who depend on our savings. My Mum saved everything partly because she had gone through WW2 but also because she had gone through the 1930s. It could happen again. Very worrying times.