Nationwide e-Savings Plus account - 3.75% interest

SmileyG_2

rb10 wrote: »

Have not seen this mentioned on here yet, apologies if it's mentioned in another thread.

New account from Nationwide (appears to have been released today) giving 3.75% interest (variable) if up to three withdrawals are made in a year. If 4+ withdrawals are made, interest reverts to 1.5% (also variable).

Thanks RB10,

Just noticed it myself as I was just making plans to move money out of my bog standard e-saver account. Just realised too that you can open an account with as little as £1.00.

If you have a Flexaccount, an e-saver account and an e-saver plus account, you might to be able to make it work.........

itsnever2lateisit?

They seem to have abandoned the message of their ads.....'we dont hook you in with introductory rates......' blah blah blah

Perhaps they have also redefined the meaning of Mutual, Mutually inclusive for senior management;)

I,_Brian

bristolleedsfan wrote: »

Whats a problem for "some" is that "some" of us are subsidising others who only open Flexi-account for reasons such as going abroad. :mad:

Actually, I figured I'm subsidising your savings rate, seeing as I have quite a bit of cash in my Flexaccount but no real interest earned - I think the e-savings people are getting that instead.

rb10

I,_Brian wrote: »

Actually, I figured I'm subsidising your savings rate, seeing as I have quite a bit of cash in my Flexaccount but no real interest earned - I think the e-savings people are getting that instead.

But that's your choice to be 'subsidising' the e-savings accounts ... you could have the money in a higher paying account.

I,_Brian

Indeed, but I figure paying debt is more of a priority to me than saving - Martin's recession proofing guide is pretty good, and it's nice I've already been following these steps anyway:
http://www.moneysavingexpert.com/protect/recession-guide

For those with no debts and only savings - through a combination of low interest rates and bank collapses with the related exposure of risk of loss - unfortunately, you're the ones really getting screwed in general.

In terms of the Nationwide E Savings account - I figure it's a decent enough option for those diversifying risk by saving with a range of lenders - after all, if you need to withdraw then ideally you'll have multiple accounts anyway to choose from.

The main danger as I see it isn't low interest rates, but risk of loss from institutional collapse - and Nationwide appears to be one of the safest places to save with in Britain at the moment.

Of course, if people would rather chase the highest interest rate only, as they did with Icesave and other Icelandic banks, be my guest - but bear in mind those companies offering the highest savings rates at present at those with higher risk profiles - so don't complain that lower risk offers lower returns because that's a basic rule of investment.

2c.

Pssst

Milarky wrote: »

Oh, I do hope so! But alas, Nationwide are stupid on the outside (public relations) whilst smart on the inside (counting-house stuff) IMO. The have 'priced' this just about right; if anyone is suckered into opening the account, makes more than 4 withdrawals in 12 months (so they start thinking of it as a 'bond' whereas the rate can still go south of 3.75% in practice) OR even makes the mistake of closing the account 'early' they will get buttons.

No, Nationiwide rates are a long, long way from implying a 'fire sale'. But I would urge all Nationwide savers however to consider a 'stike' over an extended period of time to bring them down from their ivory tower..

I have certainly struck with them . I did manage to get a good rate 6 month e bond before they lowered rates and have transferred other monies away from them. No doubt banks monitor where customers money flows to and from..

poppy10_2

Hungerdunger wrote: »

Showing your age there

I'm in my twenties :j

The Eagles are, however, timeless

bristolleedsfan

I,_Brian wrote: »

Actually, I figured I'm subsidising your savings rate, seeing as I have quite a bit of cash in my Flexaccount but no real interest earned - I think the e-savings people are getting that instead.

Only takes a few mouse clicks for you to move your funds to e-saver and back to Flexaccount when its needed.

Old_Slaphead

According to thisismoney, Nationwide are planning to lend £6billion in 2009.

They'll have to do it without my help (that'll scare 'em) - I'm moving my savings out (bar £100) in protest at their poor rates and terrible service.

Mutual benefit - what's that then - seems to only work for mortgagees & directors.