E-Savings Query

cadboll

I have been saving for house - so putting deposit in Nationwide e-savings account - I have about 7k there at the moment. Due to their change in rates, I will only be getting 4.55% Gross/AER - a drop of 0.20%!

It is likely that my house will be ready in April/May - is it worth changing accounts? Nationwide originally calculated interest (based on 4.75%) on a annual basis. If I shift the money now will I lose out? Thanks.

theJudge

If you're a higher-rate taxpayer, you'll actually be losing 0.12% after tax. That's a loss of £84 over the year.

I'd put it in perspective, when people buy a house, they don't think twice about upping their offer by £2k. Also, if you choose the wrong mortgage, the difference in your payments can be thousands.

I've found Nationwide to be reasonably fair in their service approach, and at least you can talk to somebody in your local branch rather than a call centre in India.

al_yrpal

Er... if your short of £11.67 for the house ie 0.5% it probably is!