HSBC not passing the 0.5% rate cut to SVR!!!

gt94sss2

ah_heng wrote: »

Just to revive this thread... I've just received an email from HSBC saying that they are reducing my Online Savings rate from 1.35% ( i think) to 0.5%!!!! !!!!!!!

This is exactly why I am so blardy mad. Not just they don't reduces it's SVR when the BOE do that, they have reduced their savings rate more than the drop of BOE!

The message I got from HSBC said:

The Bank of England have reduced the Base Rate by 0.50% to 0.50%. Following this we have changed the interest you earn on your Online Bonus Saver from 1.25% AER to 0.75% AER (0.75% gross variable, including 0.50% AER bonus interest) in any calendar month you don't make a withdrawal. Even if you do make a withdrawal, you'll still be earning standard interest of 0.25% AER, 0.25% gross variable.

The interest rate that applies to amounts over £50,000 in your account will continue to track Base Rate (0.50% AER, 0.50% gross) if no withdrawals are made and a standard rate of 0.25% AER (0.25% gross variable) if you do make a withdrawal.

.. which while low, seems to be in line with the 0.5% change in base rate?

Though, its hardly worth saving anywhere these days - guess I should open a HSBC Regular Saver though...

Regards
Sunil