NOW CLOSED Newcastle 3 year bond, 4% with 90 days notice to withdraw

steveksullivan

you've obviously never held an account with shAbbey......

However I've made more money from them in compensation for complaints than I ever made from them, in interest !!!!!

2010

Michael_Corleone wrote: »

Or if they cough it up when you request to withdraw early!

When opening ANY account you should read the T&C about early withdrawal and everything else to do with the account.

If you do, and if allowed,to withdraw early, expect to pay whatever penalty is in the T&C.

That`s it basically, read the T&C`s.

2010

gozomark wrote: »

Its not ignored - many lending rates are based off it, with risk premiums added on top. Also most lending is done on long term rates, not short term rates. Financial instutions can borrow at base rate, but its only a small part of their funding, partly due to matching of asset and liability profiles

Thanks for that.

The point I was making was it`s only the greedy banks that can borrow at base rate BUT then continue to try to fleece borrowers and savers with much higher or lower rates as the case may be.

An interesting (no pun) article here.

http://www.thisismoney.co.uk/savings-and-banking/article.html?in_article_id=497311&in_page_id=7

2010

steveksullivan wrote: »

you've obviously never held an account with shAbbey......
However I've made more money from them in compensation for complaints than I ever made from them, in interest !!!!!

I`ve had accounts with Abbey and even a mortgage, who are now part of the Spanish bank, Santander.

My main concern is the FSA guarantee of £50k compo and if it`s a decent interest rate,rather than who the provider is.

steveksullivan

Sorry to keep bumping this thread up, but has anyone invested in this and got any detailed WRITTEN t's and c's ?

Reason for asking is that although the summary t's and c's state that withdrawals can be made subject to 90 days notice, presumably by opening the account you are also agreeing to the other t's and c's - one of which is that the minimum account balance is £1000........ and its a three year account.

Does that mean that £1000 is stuck there for the fuill term? I definitely DONT want a 'true' 3 year account.....

Just had them on the phone and the 'investment advisor' didnt really seem to have a clue...... and I wouldn't trust something I'd only been told over the phone anyway

2010

The account minimum balance is £500 for annual interest.

Product Special Conditions

The Newcastle's General Investment Terms & Conditions will apply unless they are inconsistent with these Special Conditions, effective from the date of the account opening.

The account is a fixed rate account.
The account can be operated in branch, by telephone, post or online.
The minimum investment in the account is £500 the maximum is £1,000,000.
The account can be held in single or joint names.
After placing your Investment in the account you may make further deposits while the account is a current issue. The account is a limited issue and may be withdrawn at any time.
Withdrawals can be made subject to 90 days notice.
On maturity the account will automatically transfer to the Newcastle’s designated maturity account. We will write to you prior to maturity to advise you of any amendments to the Terms and Conditions of your account. Following the day of maturity you have 28 days in which to withdraw funds penalty free, thereafter the Maturity Account Terms & Conditions will apply.
Interest is calculated daily and is paid annually or monthly.
Monthly interest is only available on balances of £1,000 and over. Should the final day of a calendar month be a business day then any monthly interest paid to a third party will be paid on that day. Otherwise it will be paid on the following business day. Any final monthly interest due on maturity will be credited to the account.
Interest can be paid to your account, to another account with the Newcastle or to a third party bank or building society account.
Details are correct as at 18/01/2010.

Can`t be much clearer than that.
If you give 90 days notice you lose no interest.
If you leave in £500 the account stays open,if you want to close it and get your £500 then give the 90 days notice.

evenasus

steveksullivan wrote: »

I posted a link the other day asking for any views - got lots of replies but no opinions!!

Anyone got experience of the Newcastle - good or bad?

Need to find a home for some matured funds today......

I have a 5 year bond (5%) with Newcastle, which I took out last year.
It had the same 90 days notice as this 3 year bond.
Also have an E-Saver with them. Opened really, just so I could view my bond online.
No problems encountered as yet.

avalanche_3

Terms and Conditions

State: Minimum investment is £500 if you want annual interest or £1000 if you want monthly interest.

I don't see anywhere that it states you have to leave £500 or £1000 in the account for the 3 years. If you didn't give 90 days notice to take all your money out before 2 years 9 months is up and you want to leave the account open for the 3 years then I think you would have to leave £500 or £1000 in the account.

2010

2.5 year bond paying 4.25%

http://www.coventrybuildingsociety.co.uk/savings/productfeatures.aspx?ProdCode=CF118

Dopple

Not sure if this has been asked, but can you put in the 90 days notice and then cancel if you decide you don't need the money after all?