One Account rates cut

red789

Morning All

I've phoned them this morning and logged a complaint at the one account - you need to go through security for this. they will say rates have been cut by 2.7% recently. You might want to point out that rates were raised due to the LIBOR rate, which has come down, and that RBS have themselves cut rates at the "parent" by 3.19.

Ben

Yorkshire_Bred

Here we go again.........

They cannot be allowed to get away with this

What a Wunch of Bankers:mad: :mad:

yus786

lrr wrote: »

And RBS are considering paying out 1bn in bonuses!

I think Mr Brown is trying to stop that from happening. I hope he succeeds....

thomasjp

Have just written to complain about the lack of rate cut. Address if anyone wants to do the same is:
Customers Services
One Account
Woodland Place
Pinetrees Road
Norwich
NR7 9EJ

Libor rate today (which they have used in the past as justfication not to drop the rates) currently stands at 1.02% - so not much different to the BoE rate.

karanda

red789 wrote: »

Morning All

I've phoned them this morning and logged a complaint at the one account - you need to go through security for this. they will say rates have been cut by 2.7% recently. You might want to point out that rates were raised due to the LIBOR rate, which has come down, and that RBS have themselves cut rates at the "parent" by 3.19.

Ben

This is what I have done.

Called the One Account and asked for a full explanation in writing of why they have decided not to pass on the interest rate cut.

When this arrives, I will pass on their reply to the Financial Ombudsman: they are already working on my complaint.
I will also pass the reply onto my MP.

The more One Account customers who do this over the next few days, the more weight there is behind our complaint. Particularly when bank bonuses are such a contentious issue just now.

natwestripoff

Hi, well the fact they are not going to pass on the Feb rate cut was expected (still a disgrace). The original premium on the launch of this product over and above the B OF E base rate was 1.2% (for the middle tier up to 70% loan to value but it didnt vary much). At this time Libor was approximately 0.15% above the B of E base rate. Their profit margin therefore was 1.05% on the money we/you borrowed.

If we are going to be fair about this (and lets be as the bank are far from it) Libor is now at about 1% above the B Of E base rate. If all things were the same we should be paying 3.05% (1% base rate + 1% Libor premium + 1.05% profit), at this rate the bank would be making exactly the same profits even allowing for all the problems in the financial markets.

My argument is that the bank implied these mortgages tracked the B of E base rate, or if this was not the case that this was not clearly explained by the bank or the literature. If this had been the case the interest rate would now be 2.2%.

However even if we put aside the argument above and allow for all the turmoil in the finacial markets the increase in the cost of this product (your mortage) in real terms is 0.95% or more importantly approximately 80% more than it was.

So all thing being equal and allowing for the difficulties faced by the banks this bank is making 80% more profit from you/me/us than before the problems began.

When you think we are inundated with all these problems it is no mean trick to be able to increase your profits in real terms by so much.

Hence they can afford all the fat bonuses! The alternative was reasonable pay and honouring our mortgages at 3.05% (or 2.2% depending on your point of view).

It feels sad and annoying to know you have been robbed. But really that is whats happened!

Chris.

natwestripoff

Hi Thomasjp, just a quick point but Libor is 1.02% above the bank base rate currently rather than 0.02%. The rate quoted is the premium applied over and above the B of E base rate. The figures are still appalling nontheless and does not diminish just how we are being conned. Hope that helps Chris.

natwestripoff

Hi Karanda, I had hoped that to have my complaint to the ombudsmen listed by now but unfortunately have been rather busy of late. If you would like to give me your email address I will send a copy of it in Microsoft word. You may find it of some use? Regards Chris.

Yorkshire_Bred

natwestripoff wrote: »

Hi Karanda, I had hoped that to have my complaint to the ombudsmen listed by now but unfortunately have been rather busy of late. If you would like to give me your email address I will send a copy of it in Microsoft word. You may find it of some use? Regards Chris.

If I PM you my email could you also send me a copy?

natwestripoff

Hello Yorkshire Bred - No problem! You can pick and choose what you wish from it - I will send you the initial submission and the appeal statement. Chris.