rbs sharesave 08/09

anna42hmr

Kavanne wrote: »

38p!!! I will be saving £50 PM for 3 yrs... hoping the shares will at least double in that time!

Where can I keep updated with the RBS share price?

have you got access to the intranet at work, if so price is updated hourly, if not, www.yahoo.co.uk. then go to finance and then you can put the company in there and lets you see what the share price is

i am only doing £35pm for the 5years, was going to do more but have quite a bit of money tied into regular saving accs etc

opinions4u

Kavanne wrote: »

38p!!! I will be saving £50 PM for 3 yrs... hoping the shares will at least double in that time!

Where can I keep updated with the RBS share price?

There are numerous places. I tend to use the BBC unless I'm planning a trade.

The BBC option is usually about 15 minutes behind:

http://newsvote.bbc.co.uk/1/shared/fds/hi/business/market_data/stockmarket/3/default.stm

Type in RBS to the search facility.

This will display the RBS price. The dropdown menu above the graph allows you to compare the sector - so choose banks and you can see how well RBS is doing against the rest of the sector. Or not. As the case may be.

My advice with the 38p thing? Go for an extra tenner a month! Less than a bar of chocolate a day and you can already see the potential gains are 40% and the potential losses are nil.

CrackerBoo

I've just signed up for my sharesave. What happens when my sharesave matures? I went for the 5 year scheme? I read if you took the shares then you couldn't sell them for so long? Just trying to work out if the shares do go up then how long until I can take some of the profits.

Kavanne

CrackerBoo wrote: »

I've just signed up for my sharesave. What happens when my sharesave matures? I went for the 5 year scheme? I read if you took the shares then you couldn't sell them for so long? Just trying to work out if the shares do go up then how long until I can take some of the profits.

I would like to know this too

opinions4u

CrackerBoo wrote: »

I've just signed up for my sharesave. What happens when my sharesave matures? I went for the 5 year scheme? I read if you took the shares then you couldn't sell them for so long? Just trying to work out if the shares do go up then how long until I can take some of the profits.

At the end of the term (3,5 or 7 years) you have up to 6 months to exercise your option to buy the shares.

If the share price is less than 38p you don't bother and take back your money which should have earned interest at about 4.2% tax free (might be more for the longer options).

Once you buy the shares, you can sell them at any time. So if you want to bank your gains quickly you can sell them the week after you bought them.

The only note of caution is capital gains tax. Make sure you know what your CGT allowance is at the time of selling (currently about £9k per year). If you make a profit of more than your allowance you get taxed at 18% on it. As the rates and exemptions will no doubt have changed by then, check in here a few weeks before maturity!

anna42hmr

CrackerBoo wrote: »

I've just signed up for my sharesave. What happens when my sharesave matures? I went for the 5 year scheme? I read if you took the shares then you couldn't sell them for so long? Just trying to work out if the shares do go up then how long until I can take some of the profits.

basically at the end of the term you are sent a letter confirming your options,

1. to either buy the shares at the agreed rate (for this one 38p) and keep them

2.sell some of the shares and keep some

3.transfer shares to an isa

4. keep shares but transfer to someone else (ie a spouse)

5. to withdraw the savings and not buy the shares, at which stage you will get what you paid in plus the interest

if you buy the shares and sell within a certain timeframe, cap gains tax may be applicable

the ones that are more limited to sell are if you have taken profit share in shares and not cash, as they have to be held for 5 years or cgt and income tax and national insurance applies

CrackerBoo

Thanks for the reply, this is how I thought it worked. Then started reading about the profit share and confused it with the share save and started to panic about holding the shares for 5 years!!!

sabretoothtigger

You guys have a nice deal because you get a free option but I would not bet the shares wont drop to 38p or below in the meantime.

When will you actually get to decide whether to go through with this share purchase or just take the money saved

If its really 7 years from now, if they are still around the price would surely be way above that. Imagine making 2 pounds a share on the difference in 7 years, wow
In 3 years though it might be around this point still, they have to repay government

anna42hmr

sabretoothtigger wrote: »

You guys have a nice deal because you get a free option but I would not bet the shares wont drop to 38p or below in the meantime.

When will you actually get to decide whether to go through with this share purchase or just take the money saved

If its really 7 years from now, if they are still around the price would surely be way above that. Imagine making 2 pounds a share on the difference in 7 years, wow
In 3 years though it might be around this point still, they have to repay government

when you decide depends on how long you do the plan for either the end of a 3 or 5 or 7 year term, and they usually give you quite a time frame to decide

Kavanne

CrackerBoo wrote: »

Thanks for the reply, this is how I thought it worked. Then started reading about the profit share and confused it with the share save and started to panic about holding the shares for 5 years!!!

There's no profit share this year, is there?