One Account Rates Cut

taurusgb

I am not the original poster - but I do have a copy of the letter in question from Virgin One Account dated 10th May 2001. I also have a copy of a further letter dated Thursday 2nd August 2001 which is in a similar vein - it has a paragraph that reads:-

"This is the fourth rate reduction in the past few months and each time we've cut our rates on the day of the announcement. This is something few other lenders offer."

I also have these letters:-

1. Dated 18th September 2001:- This is the fifth rate reduction this year - making the one account rates the lowest they've evern been. each time the Bank of England has announced a drop in interesst rates - we've cut our rates the same day.
2. Dated 4th October 2001:- This is the sixth rate reduction this year - making the one account rates the lowest they've evern been. each time the Bank of England has announced a drop in interesst rates - we've cut our rates the same day.
3. Dated 8th November 2001:- This is the seventh rate reduction this year - making the one account rates the lowest they've evern been. each time the Bank of England has announced a drop in interesst rates - we've cut our rates the same day.

Unfortunately I don't currently have a scanner (darned kids!) or I would post them online somewhere - hope this helps

apap

I CANNOT BELIEVE , SOMEONE REMOVE THE OLD FORUM

I wonder who and Why???????????????????????????????????

Hatter

I had nearly finished wading thro the thread....and it's gone.....luckily I was saving some bits of it.....for future use...;) .has anyone else got any of it?
Hatter

Browntoa

has anyone asked them about the "promise" letter in the scan in post 20 ??

Brice

Very strange that the other thread has been removed

I am new in the MoneySavingExpert, did it happen before on this site?
It would be nice to have an explanation.

Anyway well done for making it appear in the Gardian:
http://www.guardian.co.uk/business/2008/dec/04/rbs-one-mortgages-first-time-buyers

And for the question to Gordon Brown:
http://www.bbc.co.uk/iplayer/console/b00fq64w

What did you think of his answer? :rotfl:

Hatter

This came from someone else.. ..but I think it may be useful.....hope they don't mind me reposting it?
Hatter

Press Releases
VIRGIN DIRECT DROPS RATES AS RESEARCH SHOWS PUBLIC TRUST COULD BE DAMAGED IF CUT IS NOT PASSED ON TO MORTGAGE CUSTOMERS


[IMG]http://forums.moneysavingexpert.com/mhtml:file://C:\Documents and Settings\user\Desktop\Banking\Virgin Direct drops rates as research shows public trust could be damaged if cut is not passed onto mortgage customers.mht!http://uk.virginmoney.com/assets/shim.gif[/IMG]10.06.1999
Virgin Direct is dropping mortgage rates for its One account mortgage customers by the full 0.25% for both new and existing customers following the Bank of England’s base rate cut announced today.
The drop – which is unlikely to be fully passed on by many lenders – is effective from midnight tonight for Virgin One account customers.
However, MORI research conducted among mortgage customers following the most recent rate cut – which was passed on only partially by some companies - suggests that customers’ trust may be damaged if the same reaction greets today’s cut.
In the research:

• 56% of people agreed that the trust they have in their bank or building society would be damaged if they didn’t change their variable interest rate in line with the Bank of England;
  
• 74% agreed that they would rather see their interest rate on mortgages go down than the rate on their savings go up (among people with both mortgages and savings);
  
• 95% agreed that their bank or building society should make it clear to them how they will react to any future rate cut: and,
  
  

Virgin’s commitment to follow any Bank of England gives One account customers reassurance that the company is continuing to apply rate cuts swiftly. Virgin is writing to inform customers today
Rowan Gormley, Chief Executive of Virgin Direct, said:
"We are pleased, once again, to be one of the first companies to commit to a full reduction for mortgage customers. With new mortgage business running high at the moment, any failure among lenders to match the cut could have a major impact on homeowners’ finances."
"This MORI research shows that any failure to cut home loan rates could spell the end of the basic trust which has kept many customers loyal to their banks and building societies."
Following the pegging of Virgin Direct’s deposit account rates following the last rate cut, the company is now realigning its rates with a 0.5% cut. This move ensures that the account’s rate remains economically sustainable given that there may be no further cuts for some time. Even with the cut, the account continues to exceed Virgin Direct’s promise to offer a rate no lower than 1% below base until December 2001.
RATE CUT SAVING
The average saving for a household with a £70,000 repayment mortgage the effect of a 0.25% mortgage cut would be around £11. For an interest only mortgage the saving would be around £15.
Editor’s notes
MORI research was carried out by MORI financial services research w/e 2 May 1999 among mortgage holders across the UK. Of 354 respondents 83% also had savings.
oneaccount@virgin-direct.co.uk

stevem999

Come on Martin and/or Admin's - where is the old thread and why has it disappeared. Removing threads unilaterally without reason goes entirely against the principles of this site. I hope big business hasn't finally had you nobbled. Even if it's a legal issue, just say so. Silence is sounding a lot worse.

Browntoa

I've just emailed my MP , asked why pressure cannot be placed on RBS to adhere to their promise from the May 2001 letter to follow base rate

---lee---

stevem999 wrote: »

Come on Martin and/or Admin's - where is the old thread and why has it disappeared. Removing threads unilaterally without reason goes entirely against the principles of this site. I hope big business hasn't finally had you nobbled. Even if it's a legal issue, just say so. Silence is sounding a lot worse.

You can post admin queries in the Site Feedback Forum http://forums.moneysavingexpert.com/forumdisplay.html?f=50 . If distant memory serves, any post or thread can be deleted. I have seen it happen in the past - without comment or explanation. You might get a response, you never know. The forum team may have been instructed to remove the thread for legal reasons. Better to lose one thread than the whole site.

yus786

I too have all the original letters re: the promise.

Let me dig them out .