Wrong calculation of interset?

sloughflint

derrick wrote: »

as it didn't happen so is irrelevant.

It is far from irrelevant but you can't be convinced so go ahead.

I don't have a degree in maths, but this is so basic even a monkey could understand it,(no reference to anyone on this thread).

What a rude comment

Gwhiz

derrick wrote: »

I think this has been answered in post #23!





Read my OP, I was asking for some confirmation that they could do this before going and doing more!

No, I think you are going on and on and on. You've had many replies and you still disagree with peoples views. Stop using bandwidth and your energy and sort it out in private. You really do need to get a life!

YorkshireBoy

Derrick, is the text (presumably from the T&C's) given by sloughflint...

"...we calculate interest on the sum you invest daily from the day after
we open your account..."

...the reason for the discrepancy?

If it is then I can't see a complaint getting anywhere with the FOS.

The Derbyshire may give you a tenner to 'go away' though!

derrick

sloughflint wrote: »

It is far from irrelevant but you can't be convinced so go ahead.
What a rude comment

Why is it a rude comment? I stated, "(no reference to anyone on this thread)"

derrick

Gwhiz wrote: »

No, I think you are going on and on and on. You've had many replies and you still disagree with peoples views. Stop using bandwidth and your energy and sort it out in private. You really do need to get a life!

Then stop replying, no one is forcing you to read or reply to this thread, this is an open forum and I asked for advice, some of it agrees with me some doesn't

derrick

YorkshireBoy wrote: »

Derrick, is the text (presumably from the T&C's) given by sloughflint...

"...we calculate interest on the sum you invest daily from the day after
we open your account..."

...the reason for the discrepancy?

If it is then I can't see a complaint getting anywhere with the FOS.

BM may give you a tenner to 'go away' though!

No the term is for 12 months, from their CS agent via phone call,
1st August to 31st December, 153 days
1st January to 31st July, 212 days.
Total, 365 days.

The bond was a rollover from one that ended 31st July 2008, so the new bond started on the 1st August and matured on 31st July, both days have interest included, even if you where right with this, a days interest at 7.01% gross is £28.80. not the £12.05 they are short.

Who is BM?
I think you bean the Derbyshire, and I did point out to them that giving me the interest I feel I am owed will be less expensive than replying to the FOS, but they would not have it.

YorkshireBoy

derrick wrote: »

Who is BM?

Sorry, post edited (just been dealing with a BM issue for my parents and it was still on my mind!)

...the interest I feel I am owed...

If you ask them they will give you an interest calculation breakdown. Some providers charge for this (but only if the interest is found to be correct), but if you make the request as part of your formal complaint you'll probably get it for nowt.


EDIT: There's a postscript '1' after the words 'Gross' and 'AER' in your flyer. What's the footnote for those?

derrick

YorkshireBoy wrote: »

Sorry, post edited (just been dealing with a BM issue for my parents and it was still on my mind!)If you ask them they will give you an interest calculation breakdown. Some providers charge for this (but only if the interest is found to be correct), but if you make the request as part of your formal complaint you'll probably get it for nowt.

They did do this verbally over the phone, I disagree as they are using the leap year reasoning, (they had my money for a FULL 365 day year).

They are sending me a "final decision" letter and the FOS are sending me the initial forms, but the FOS have told me that the process can take between 8 & 9 months:eek:, so I suggest this thread is halted and I will post back the final decision when I get it, which looks like being sometime next year, good job I don't need the tenner:D, it is more the principle of the matter.

And just because something is in a companies T&Cs, does not mean it is lawful or correct, look at the bank charges, they had it in their T&CS, but they are being disputed.

derrick

YorkshireBoy wrote: »

EDIT: There's a postscript '1' after the words 'Gross' and 'AER' in your flyer. What's the footnote for those?

Notes
1 Gross means the contractual rate of interest
payable before the deduction of income tax at the specified rate
"The AER (Annual Equivalent Rate) illustrates what the interest rate would be if it were paid and added each year All savings products advertisements which quote interest rates should contain an AER so you will be able to compare more easily what return you can expect over time. ' The Net rate is an illustrative rate only allowing for deduct-on of income tax assuming continuation of the current prescribed rate of 20%. (The tax position affecting our accounts is subject to changes in the law)
We normally pay interest Net We can pay interest Gross if you can provide us with an appropriate completed form complying with Inland Revenue regulations
Terms and Conditions of the account are variable under the investment conditions This is a share account investment with Derbyshire Building Society This leaflet should be read in conjunction with the A Guide To Our Savings Accounts brochure and Account Terns booklet
We are not obliged to open an investment account, or to do so on the terms stated in any of Our literature We can refuse to allow new accounts to be opened, or limit account openings to accounts with a higher minimum opening investment than that which normally applies. We may do this generally or in certain cases

Special Conditions
Additional Investments
you can make further investments to an account up
to the maximum balance during the "maturity period"
(I July 2008 - 31 August 2008).
We may have to restrict additional investments
before the end of the "maturity period" if the account
is fully subscribed before then
Investment Term and Maturity
Please note that this Bond does not mature until
31 July 2009.
You may withdraw your investment on the maturity''
date Shortly before maturity we will tell you about
the available options and terms for continuing your
investment. If we do not receive written instructions
from you by the maturity date, we will transfer
any funds either to a fixed rate bond or another
account from our current range which we consider
appropriate.
You can then.
?Make further investments into that new account
up to the maximum balance, provided it is still
open for new investments
Close that new account without interest charge at
any time .jp to 31 Augus; 2009 Any withdrawal
after that date will be subject to the conditions of
■.hat new account
How and when we pay Interest
The interest rate is fixed and we calculate interest
on the sum you invest daily from the day after we
receive it. up to and_ including the date of maturity
Annual interest will be paid on maturity at
31 July 2009 ™
Alternatively, if you opt for monthly interest, this will
be paid immediately after the 15th of each month.
We will normally automatically add the interest into
your account However you can have the interest paid
direct into your bank account or transferred into an
instant access account with us
This product is restricted to one account per
investor.

Hungerdunger

derrick - I don't know whether this helps, but I'm in an identical position with the Derbyshire, except that my sum was £100k.

Looking at the passbook I see I received gross interest of £7023.34. I was expecting £7,010 (100k x 7.01%). Multiplying my figure by 1.5 ( to see what I would have got if I'd had £150k) I get £10,535.01, which is significantly more than you received.

Can anyone explain this?