Is Icesave now the best place to leave fixed rate accounts?

rosebud666

I was told AFTER the bond matures as well.

KingL

shindigger wrote: »

They really need to clear this up and also end the ambiguity over the rates we will get.

In other news - other stuff I got clarified (by the first guy) were

1) if you have combinations of Instant access, ISA and term deposits, then going the paper-route with the retained Term Deposit won't preclude you from using the electronic process for the other types of accounts

2) final payments of retained term deposits can be made via electronic finds transfer, even if the paper system is used (you can specify on the form whether you receive your final payment via cheque, BACs, etc)

3) the interest rate you had with Icesave will be honoured

4) Yes, capital is safe from further bank collapses, etc.

(he had to double check with the London office on (1), but seemed confident on the other points).

~Chameleon~

I've also been told we'll receive forms in December and will have access to our funds the day after maturity via electronic payment or cheque.

notverymerrywidow

Many thanks, KingL and Chameleon.

Think I shall leave my FT until maturity next May.

At least rates might be a little improved by then, only wish I had more in it!

EagerLearner

Hi all, I am confused I'm afraid - my bond runs out on 26th November, presumably I should leave it there? But does that then mean I delay getting the cash for 6 weeks?

If that is the case, I might as well cash it out now (early) and place into savings straight away.

~Chameleon~

EagerLearner wrote: »

Hi all, I am confused I'm afraid - my bond runs out on 26th November, presumably I should leave it there? But does that then mean I delay getting the cash for 6 weeks?

If that is the case, I might as well cash it out now (early) and place into savings straight away.

This is only my opinion based on what I would do so feel free to ignore it

If my fixed term account was due to mature during Nov/Dec I would opt for instant electronic payment purely because the FSCS will no doubt be overwhelmed processing all the immediate claims which could possibly delay dealing with the extra paperwork etc.

Obviously it will depend on how much you have invested and the value of the interest you would lose in doing this, plus of course being able to find a decent rate account to transfer it to as they're disappearing like hot cakes at the moment.

MoneyMinder

Seems a good idea to let fixed rate bonds mature, I have 2 that have almost a year on one and 2½ years on the other. Interest seems to have been guaranteed at our original rate but........has anyone found out where the bonds/money will be? Is it going to be safe for the next few years?

Baldur

MoneyMinder wrote: »

.......has anyone found out where the bonds/money will be? Is it going to be safe for the next few years?

If it isn't safe with the FSCS, then nothing is safe.

breaghboo

Remember you don't have a bond as such only a compensation package to reimburse you.

Tartania

I've asked them to clarify it in writing on the FAQ, but don't hold out very much hope for that.

It's already there...

http://www.fscs.org.uk/faq/icesave_faqs/

31. If I decide to keep my Fixed Rate Savings Account open, will I need to make my paper application now or just before my account would normally mature?
If you prefer to wait until the end of the fixed term, and receive interest which would have been due at maturity, the electronic process option is not available to you. However, you should still log on to the website and tick the appropriate box to confirm that this is your wish. At that time, we will be notified that you wish to wait until the end of the fixed term and we will then send you an application form to complete and return to the FSCS as soon as possible. This process will be slower, although we aim to complete this process so far as possible within 6 weeks of receipt of a completed application form, with payment following the maturity date of the account.