Newcastle Building Soc - New 5 year-5% BOND (Not an ISA) NOW CLOSED

SuzieSue

thenudeone wrote: »

I don't know about the 90 day version but the 5 year bond with 180 day notice allows you to have multiple future withdrawal instructions, the total of which can exceed the balance, and simply cancel each one shortly before it's due.

With a bit of planning its possible to turn this into a XX day notice account - just place multiple withdrawals xx days apart and cancel any unrequired ones just before they are due.

With this account you can only have one notice outstanding. So if you give notice on 1 January then you can get your money 90 days later (say 31 March). However, if you then give notice again on 1 February, the notice you gave on 1 January is automatically cancelled, so the earliest you can get your money is around 30 April.

efunc

I gave notice over the phone back in November of my intention to withdraw in february, which was accepeted. However I never returned my passbook, withdrew the funds or contacted them again. Is there a danger that my interest payments may have stopped?

Steve_xx

efunc wrote: »

Is there a danger that my interest payments may have stopped?

No, interest payments will continue.

efunc

Phew! I first read that as "No interest payments will continue"!

I will call them to check in any case.

s20544

Did this 5yr (non ISA) bond have the option of having interest paid annually or on maturity? ....... I have received no interest payments since oprning this bond in 2009. When I spoke with the Newcastle a few months ago I was told that as this was a bond, no interest payment would be made until maturity.

Steve_xx

s20544 wrote: »

Did this 5yr (non ISA) bond have the option of having interest paid annually or on maturity? ....... I have received no interest payments since oprning this bond in 2009. When I spoke with the Newcastle a few months ago I was told that as this was a bond, no interest payment would be made until maturity.

If you phoned Newcastle and they told you the answer, then why would you query their answer here?

efunc

When I log in I can see my annual interest being applied.

Richchad

I have my interest paid monthly, when I log in (as I opened a savings account to be able to log in) I can see both accounts but am unable to access term account, only view total for this account.

s20544

Steve_xx wrote: »

If you phoned Newcastle and they told you the answer, then why would you query their answer here?

I asked becuase it seems to be more common for fixed term accounts to pay interest annually I thought that the person I spoke to at Newcastle may have been mistaken because I saw mention on this thread of people expecting interest payment on 31st July.

I apologise if I have misunderstood or wasted your time.

SuzieSue

s20544 wrote: »

Did this 5yr (non ISA) bond have the option of having interest paid annually or on maturity? ....... I have received no interest payments since oprning this bond in 2009. When I spoke with the Newcastle a few months ago I was told that as this was a bond, no interest payment would be made until maturity.

I think you had the choice of having monthly or annual interest payments. I hope it isn't at maturity as it will take me in to the higher rate tax band.