I am being thick about the detail of the 1.5% bonus

chickmug

I have two accounts opened last September (Tesco Savings & PO ISA) bothe refer to a 1.5% bonus. When is this paid? Does one have to be with them for 12 months or until the end of the tax year or what.

Again sorry if it is obvious and it is just me being thick!

Lokolo

The bonus is just added onto the normal rate.

For example if the normal rate is 2% and bonus is 1.5% you just get an overall rate of 3.5%. You don't get 2% and get a bonus of 1.5% paid at the end of the year or anything.

Interest is calculated daily. So each day you will have an extra ((BALANCE/ 100 * 3.5) / 365)

Milarky

Interest is calculated on a daily basis and is paid annually. Interest will be paid the last business day in March.

http://www.tescofinance.com/personal/finance/savings/savingsaccounts/internetsaver/index.jsp

Remember that interest will be paid (including bonus rate) up to 31 March. The bonus rate will tail off sometime in the following months - the anniversary of the account to be exact. Thus either draw down the balance around that time or else close the account to get the remainder paid out sooner than otherwise.