Fix Your Savings Rate NOW! Article Discussion

MKUX3

i opened a six month fixed saver about 2.5 weeks ago at 7.00 % for 6 month

the certificiate has come in saying gross 5.91%

i will need to contact them re this to get it rectified

jem16

miserable_ol_so_n_so wrote: »

I have several online accounts with halifax, and there is no written correspondence etc. In view of the volatile nature of data that can be displayed, what is to stop halifax, either by mistake, or purposely to change the interest rate to anything come the end of the term? Come to think of it, to change your account balance downwards?

It does say that I would get written confirmation within 7 days.

You could also print off a screen shot of your account showing the correct details.

ladybug2008

Squibbler wrote: »

Hi - yes you can open (complete the form) immediately via internet even though it is a telephone account but they then have to send the form to you to sign) .They assured me that I would definately get that rate - presumeably they put the completed form in the post for me to sign yesterday evening

Just click on Learn more, then request an application and it gives you the form there and then to complete online. (It asks what your deposit will be & you send it later by cheque). They will send the application out for you to sign and return, but you have effectively reserved that rate.

Looks like their rates are still there this morning so far...unlike Nationwide's!

I just opened a 6 month bond with Birmingham Midshire, which says the rate is 6.97 AER. I am transfering from a A&L esaver, which has a variable rate. Hope its all worth it! :beer:

gelato_cat

I always get a letter when I open a Web Saver...

Suze

miserable_ol_so_n_so wrote: »

I have several online accounts with halifax, and there is no written correspondence etc. In view of the volatile nature of data that can be displayed, what is to stop halifax, either by mistake, or purposely to change the interest rate to anything come the end of the term? Come to think of it, to change your account balance downwards?

catlou

hi all!

I'm a bit confused here!! (Not hard!!)

Can someone clarify for me that none of these fixed rate accounts are available to open and transfer your money online? Also which is the simplest to open ie. without any catches like having to have a current account with them?

Thanks

chris1

From the original article - regarding NS&I Index Linked Certificates -
"NS&I has 3 and 5 year Index Linked Savings offering to pay 1% more than inflation... It uses the higher measure, Retail Prices Index (RPI) inflation, at 5.0%, meaning it pays 6.0% overall."

Apparently this is not the case - it pays 1% plus whatever inflation is on the anniversary (and the anniversary after that and so on). So if inflation was 1.5% in a year's time, you would get a total of 2.5% not 6% interest for that year.

paranoid-taxpayer

catlou wrote: »

hi all!

I'm a bit confused here!! (Not hard!!)

Can someone clarify for me that none of these fixed rate accounts are available to open and transfer your money online? Also which is the simplest to open ie. without any catches like having to have a current account with them?

Thanks

Its ever so confusing. I have found that when opening an account with halifax that it does guides you open the account that is mandatory. For instance, when opening the fixed rate account, it guided me to open the relevant websaver. It said that at he end of the fixed term, the proceeds would be deposited into that web saver. I have now ended up with many many accounts with halifax. It must cost them a fortune eventually trying to keep track of these!
The fixed rate account requires the websaver. I did make online payments. Cant remember whether straight into the fixed rate acnt or first into the websaver then into the fixed rate. There was no problem, especially since my natwest bank made fast payment and it went in almost instantaneously.

paranoid-taxpayer

Suzey wrote: »

I always get a letter when I open a Web Saver...

Suze

Yes, but the letter does not specify the rate of interest. Accompanying the letter was a leaflet, which specified interest rates, but not the fixed rate of 7% that I had opted for! I think there is a lot of potential for confusion especially if something were to go wrong with halifax's computer systems.

gelato_cat

Oh right, I thought it did! Must admit I rely on Internet banking to keep a check on such things, I usually only give the letter a cursory glance and file it. As long as it has the right rate on my Internet banking page I'm happy.

As for Halifax changing balances or interest rates, I spose that's the chance you take when going web-only (and the low overheads allow them to offer the higher rates).

Suze

paranoid-taxpayer wrote: »

Yes, but the letter does not specify the rate of interest. Accompanying the letter was a leaflet, which specified interest rates, but not the fixed rate of 7% that I had opted for! I think there is a lot of potential for confusion especially if something were to go wrong with halifax's computer systems.

MeGrumps

This account is good because it is instant access (without penalty) and yet fixed rate for 1 year, which was 6.3% on £100,000 at the time that I opened the account. However, unawares to me the rate had dropped to 6% by the time I had made my opening deposit. On querying this I find that it's the rate at the time of the opening deposit that applies and not the rate when I opened the account. If I had known this I would have made the opening deposit by telephone transfer before the rate was dropped on 31st October. Not knowing that the rate was only fixed on the date at which the opening deposit was made, I had decided to wait until the account opening paperwork had been posted to me. Admittedly, I could have picked up this gotcha from the fine print of the Terms and Conditions that were available online when I opened the account. However, I had made the assumption that a fixed rate account would have only one fixed rate and that I would get this provided I funded the account within the 10 days I was told I was allowed when I opened it (by phone). I had assumed they would withdraw this product and introduce a replacement (with a modified name) if they decided to drop the rates. It transpires that my assumption was incorrect.

On top of this I have still not yet been informed by Bank of Scotland that the rate has changed as I am still awaiting them to properly complete the opening of my account (which commenced on October 26th) at which point I will be given internet access to my account (and will presumably be able to see what interest rate applies).

I find this use of multiple rates of interest for the same fixed rate account most misleading. So beware anyone who wants to lock into the current 6% rate, make the £5,000 opening deposit at the same time that you open the account by telephone. Has anyone else had a similar experience? Is it just HBOS that does this sort of thing?