Halifax Regular Saver - Rate dropping tomorrow

stevetodd

tuggy12 wrote: »

I thought the maximum you could invest in a regular saver with Halifax was £500/month = £6,000pa, giving an average balance of approx £3,000

At 5% that's interest of £150 and at 10% the interest would be £300, the difference being £150.

Are you allowed to open multiple accounts to get to your £660 interest figure?

Yes are overlooking the Halifax International regular saver account which allows up to £2,000/month

apt

If Halifax needed to go to 5% with the Regular Saver it should have done so in one go rather than going to 6% for a few days and then 5%. The forthcoming £5 per month interest on current accounts is another product which is unlikely to work well in practice. Halifax has made excessively attractive offers to some savers and has throughly unattractive offers for others. I'm not sure this mix will provide it with reasonably priced and sufficient retail funding.

opinions4u

apt wrote: »

If Halifax needed to go to 5% with the Regular Saver it should have done so in one go rather than going to 6% for a few days and then 5%.

Perhaps they got higher than expected demand for the 6% rate and had no choice but to reduce further.

Regardless, I'm sure the customers who have benefited from the 6% would prefer their approach to yours.

tuggy12

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stevetodd wrote: »

Yes are overlooking the Halifax International regular saver account which allow/s up to £2,000/month

Thanks for that.

I see the website is showing 6% fixed from 09/12/18 with a message:

Our 6% AER**/Gross* p.a. Regular Saver Account has proved such a hit we are giving you extra time to get yours!

Is this covered by the FSCS ?

Baldur

tuggy12 wrote: »

Is this covered by the FSCS ?

Of course, it's a savings account, so is covered in exactly the same way as any other for deposits of up to £50,000 per depositor, per institution.

stevetodd

tuggy12 wrote: »

/

Thanks for that.

I see the website is showing 6% fixed from 09/12/18 with a message:


Is this covered by the FSCS ?

It is covered only by the Isle of Man protection scheme, which IN THEORY guarantees the first 50k. However many have questioned whether the Isle of Man could afford this, but of course HBOS (and now Lloyds of course) also guarantee it

apt

opinions4u wrote: »

Perhaps they got higher than expected demand for the 6% rate and had no choice but to reduce further.

Regardless, I'm sure the customers who have benefited from the 6% would prefer their approach to yours.

They might be grateful for the possible maximum of £24 extra interest, but that's a drop in the ocean compared to the billions that taxpayers are going to have to pump into HBOS partly because of its management's failures. They are still bringing out endless new products and issuing more rewards than a wild west sheriff. They still don't seem to have learnt the need to be more consistent and conservative and not to run a retail bank like a supermarket.

Mr_K

Just to prove how little the interest rates on RS's actually matter. HSBC have ruthlessly applied all the interest rate cuts to their savings accounts apart from their regular saver which they've not moved at 8 or 10 %(depending on which account you've got with them.) They know that they'll never have to pay out much so its not big commitment. Its a nice rate to put in the window and they can guarantee your custom & money for a year.

More important is the amount you can put in each month and how long you can keep the account for, which of course they restrict. Thats why I don't bother with RS's. However I appreciate, in these low rate times, they might be the best you can do if you haven't secured a fixed rate savings account.

tuggy12

Baldur wrote: »

Of course, it's a savings account, so is covered in exactly the same way as any other for deposits of up to £50,000 per depositor, per institution.

Turns out it's not covered by FSCS as it's an offshore account.

Baldur

tuggy12 wrote: »

Turns out it's not covered by FSCS as it's an offshore account.

My bad, didn't spot the 'International', IOM cover only then - http://www.gov.im/fsc/investor/dep_comp.xml.