West Bromwich new fixed rate

p.drewello

Sure but this doesn't include the interest which you'd be owed.

Steve_xx

p.drewello wrote: »

Sure but this doesn't include the interest which you'd be owed.

Yes it does, upto the date on which it failed.

dboswell

i've noticed after "withdrawing" the bond 22 at the start of the week, TWB have is again on their website.

Steve_xx

dboswell wrote: »

i've noticed after "withdrawing" the bond 22 at the start of the week, TWB have is again on their website.

No, you've noticed that they have withdrawn Bond 21 and replaced it with Bond 22 on similar terms.

p.drewello

Ur correct I assumed that interest wasn't included.. although claims may take 4 weeks or more to be processed by the FSCS. And these can only be made once the bank is declaired 'in default' - this status could take time again. I'm attracted by the high interest, and if many other people are also - this will only prove to strengthen the bank & our savings.

mean_momma

Off-topic, but I have an old death insurance certificate for £3000 issued as a freebie by the West Brom. Have just read the small print which says that this insurance is valid as long as the insured is a customer of West Brom. Anybody know anything about this insurance?

Steve_xx

p.drewello wrote: »

Ur correct I assumed that interest wasn't included.. although claims may take 4 weeks or more to be processed by the FSCS. And these can only be made once the bank is declaired 'in default' - this status could take time again. I'm attracted by the high interest, and if many other people are also - this will only prove to strengthen the bank & our savings.

Yes it may take time to recover the funds if the FSCS has to be involved. However, thus far, any UK bank or society that has defaulted has seen its retail savings customers deposits shunted off elsewhere, ie to another bank. These depositors have in general been able to keep their deposits with the new bank on the original terms they signed up to.

hotkee

Its worth noting in view of p.drewello's post - the Nationwide which is the biggest building society has also been downgraded recently.

As long as you dont stick more than the 50k into one place, you are safe-ish barring interest if something fails etc.

But compare all this to Labour's rating, the situation isnt critical. :-)

baby_boomer

A useful snapshot of West Brom's perceived prospects is the yield on their PIBS (permanent interest bearing shares).

The higher the yield the greater the perceived risk of losing all your dosh.

Coventry BS - 6.92%
Nationwide BS - 7.23%
Skipton BS - 7.39%
Yorkshire BS - 7.53%
Manchester BS - 8.00%
Nottingham BS - 8.2%
Leeds BS - 8.66%
Newcastle BS - 9.03%
Kent Reliance BS - 9.15%
Britannia BS - 9.26%
Principality BS - 9.33%
West Brom BS - 12.18%
Northern Rock - 16.61%

[PIBS holders are pretty much last in the queue for their money, well behind behind savers, should a society go tits up.]

My list is taken from current yields for BS PIBS quoted in today's FT. Most BSs - especially the smaller ones - don't issue PIBS. I have included all societies known to me which issue PIBS.

Clearly the financial markets are not confident about the future of West Brom. If they were then a 12%+ annual yield would be their's for the taking.

Sorry to continue my party pooper role .

Which is not to say that I wouldn't have invested in the West Brom offering - had I had funds available at the time -since our government's guarantee overrides all of the above if you are just putting money in a savings account up to the £50K limit.

Steve_xx

baby_boomer wrote: »

A useful snapshot of West Brom's perceived prospects is the yield on their PIBS (permanent interest bearing shares).

The higher the yield the greater the perceived risk of losing all your dosh.

Coventry BS - 6.92%
Nationwide BS - 7.23%
Skipton BS - 7.39%
Yorkshire BS - 7.53%
Manchester BS - 8.00%
Nottingham BS - 8.2%
Leeds BS - 8.66%
Newcastle BS - 9.03%
Kent Reliance BS - 9.15%
Britannia BS - 9.26%
Principality BS - 9.33%

West Brom BS - 12.18%

Northern Rock - 16.61%

[PIBS holders are pretty much last in the queue for their money, well behind behind savers, should a society goes tits up.]

My list is taken from current yields for BS PIBS quoted in today's FT. Most BSs - especially the smaller ones - don't issue PIBS. I have included all societies known to me which issue PIBS.

Clearly the financial markets are not confident about the future of West Brom. If they were then a 12%+ annual yield would be their's for the taking.

I suggest that you are scaremongering here since depositors cannot lose their deposit if a sole investor deposits not more than 50k and joint account holders deposit no more than 100k.

This is the sort of talk that causes runs on institutions and it really is not helpful.