ING Direct interest rate

MrChips

I've recently received a letter through the post from ING. The letter tells me that following the 1.5% reduction in the BoE base rate in November that they have reduced the interest rate on my account by 1.5%.

I find this a little confusing as I thought that their policy was to maintain a consistent rate? They didn't apply increases when the base rate was going up earlier in the year because they wanted to reward savers with a stable rate rather than a volatile one. Isn't this now going against that policy?

MarkyMarkD

Base rate hasn't increased this year at all. It started the year at 5.5% and ended it at 2%.

And a "policy" (probably more like an "aim") of keeping a consistent rate can't continue when BBR falls by 3% in the space of 3 months.