tesco internet saver rate drop now 2.75% inc bonus

anna42hmr

from e -money facts, and has been updated on tesco site now, down from 3% to 2.75% as of 1st december

INTERNET SAVER reduced by up to 0.25% w.e.f. 1.12.09: £1 - 2.75% (-0.25%), £100K - 1.25% (no change). Rate now includes a 1.50% bonus for 12 months on balances up to £100K

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

10_66

But Internet Saver accounts opened prior to 1 Dec 2009 had a fixed bonus of 1.75% (for 12 months from opening date) + standard (variable) rate of 1.25% , so it looks like the drop only applies to accounts opened from 1 Dec 2009.

anna42hmr

10_66 wrote: »

But Internet Saver accounts opened prior to 1 Dec 2009 had a fixed bonus of 1.75% (for 12 months from opening date) + standard (variable) rate of 1.25% , so it looks like the drop only applies to accounts opened from 1 Dec 2009.

accounts that they have extended the bonus's on (ie mine ran out at 1.75% bonus end of october 09 as account was opened october 08) , but had a letter from them advising the bonus will be extended for another year but states the extended bonus is 1.5%, (thought they applied another 1.75% bonus but reading the letter its 1.5%)

so the rate will apply for new customers and those who ran out of their initial bonus period but have received a letter from tesco stating they are applying an additional bonus for the 2nd year

10_66

I opened an Internet Saver in August 2009, to replace the one I opened in 2008 (as the bonus was due to come to an end). The new one (August 2009) offered a fixed bonus of 1.75% (for 12 months from opening), with a variable underlying rate of 1.25%. So unless Tesco have reduced their underlying variable rate from 1.25%, accounts opened from August 2009 to 1 December 2009 will still be receiving 3%.

charlieboycat

anna42hmr wrote: »

so the rate will apply for ...... those who ran out of their initial bonus period but have received a letter from tesco stating they are applying an additional bonus for the 2nd year

Humm ... my original account (with 1.5% bonus) was opened in December 2008 and the bonus expires next week. My customer retention letter (received in October!) says that wef 1 January 2010 I can look forward to a rate of 3% - including "a bonus of 1.75% for 12 months over and above our standard variable rate (currently 1.25%)".

The letter doesn't specify that the new 1.75% bonus is "fixed", but then neither did the original paperwork specify that the original 1.5% bonus was "fixed". If it was part of the account-opening process (ie. equivalent to T&C) then I'd argue that the bonus is "fixed" unless specified to be "variable". But given that there was no requirement for Tesco to offer an additional 12-month bonus, I don't know ...

nzseries1

If ONLY they could simply put the interest rate you're currently getting at the top of the online banking page. Wouldn't that be simples.

anna42hmr

charlieboycat wrote: »

Humm ... my original account (with 1.5% bonus) was opened in December 2008 and the bonus expires next week. My customer retention letter (received in October!) says that wef 1 January 2010 I can look forward to a rate of 3% - including "a bonus of 1.75% for 12 months over and above our standard variable rate (currently 1.25%)".

The letter doesn't specify that the new 1.75% bonus is "fixed", but then neither did the original paperwork specify that the original 1.5% bonus was "fixed". If it was part of the account-opening process (ie. equivalent to T&C) then I'd argue that the bonus is "fixed" unless specified to be "variable". But given that there was no requirement for Tesco to offer an additional 12-month bonus, I don't know ...

i will check my letter again and see what the bonus states, as i thought i remember that it had 1.75% too, but when i looked yesterday quick thought it said 1.5% (though have spilt coffee on the letter lol so will double check)

anna42hmr

sorry everyone, it is 1.75% bonus on the letter can just about make it out through the coffee stain lol!!!

so looks like any one who opened the account before with 1.75% bonus is currently unaffected, as the base rate is still 1.25% so just new openers who will get the 2.75% instead of 3% sorry for the confusion for those who like me have the extended bonus lol!

claire07

I opened an internet saver by end of November (at least they cashed my cheque by then) but now online it says it was opened 1st December! To echo previous plea, why don't they put the rate you are getting on the webpage. Also why can't you contact by email? I've spent a large chunk of this afternoon holding on the phone to try to clarify what rate I'm getting as I want to move a maturing bond there. Anyone got a number other than their helpline number or an email address?

barak

claire07 wrote: »

Anyone got a number other than their helpline number or an email address?

0141 308 8028 worked last time I spoke to them.

nzseries1

charlieboycat wrote: »

My customer retention letter (received in October!) says that wef 1 January 2010 I can look forward to a rate of 3% [...]

The letter doesn't specify that the new 1.75% bonus is "fixed", but then neither did the original paperwork specify that the original 1.5% bonus was "fixed". If it was part of the account-opening process (ie. equivalent to T&C) then I'd argue that the bonus is "fixed" unless specified to be "variable". But given that there was no requirement for Tesco to offer an additional 12-month bonus, I don't know ...

Tesco were always really good at letting you know when the interest rate dropped, so I would say unless you've received a further letter stating that the rate has gone down, you can assume you're still getting 3%. That's what I'm assuming anyway!