Anyone sticking with NatWest e-ISA (acc opened before 14 May 09)

Deru

Has the rate dropped this month?

I earned less interest this month than last and I've put in more money. No withdrawals, only deposits. I'm on the post May '09 version but still.

http://www.natwest.com/personal/savings/g2/isas/e-isa.ashx#tabs=section2

This page doesn't seem to have changed. Surely, they legally have to update these things if they're going to change the rate? I'm not even insisting they have to contact you. Just update their site.

I'm transferring to Halifax for the year.

kfm

No, the rate hasn't changed. Interest has just been paid over fewer days. Last month, interest was paid from 26th Feb to 31st March (33 days) and this time round it was 31st March to 30 April (30 days).

royeee

Thats cos it goes from last Friday of month to the next last Friday of the month irrespective of how many days in between and factored by the total no. of days in that time window in proportion to the whole year.

EdGasket

astro-k wrote: »

I used their chat page and got incorrect info. Called them and the bonus rate goes next month so will only be getting 2.47% on my £35k. NCBS are looking good for 3.1% with 45 days notice suddenly..

So is that definite then? Natwest will lower the rates from 14 May 2010 on e-ISA opened prior to May 14th 2009 such that all e-Isa rates will be the same i.e. 2.47% on > £30K ? In that case it's not worth adding this year's allowance to as there are better deals around for new money !

financial_illiterate

I think its far from definite, given that the original poster refers to a 'bonus' which doesn't exist.

I don't think there's any significance to the 14th May other than its the date they chose to 'cut-off' at last year.

Time will tell who is right!

EdGasket

I think it highly likely that the rate will drop as Barclays had a similar offer last year of 3.65% and a year later it has reverted to the 'standard' rates. I can't see NatWest offering a higher rate for money they have already got; why would they?

someone

EdGasket wrote: »

I think it highly likely that the rate will drop as Barclays had a similar offer last year of 3.65% and a year later it has reverted to the 'standard' rates. I can't see NatWest offering a higher rate for money they have already got; why would they?

Because if it drops and I can get a better rate its just going to be transferred

shymanuk

think we need to wait and see what if anything happens on the 14th . and if it drops we all know to leave for a higher rate ........

jonny2510

(although I'm sure everyone will)

If anyone sees a change, please post here to let all the others know

The_Enforcer

I have both an e-ISA and Cash ISA Plus with NatWest.

I applied for the e-ISA online before the 14th May 2009, as I already had a current account with them and I also posted back the paperwork they sent me before that date. The account wasn't actually opened until after 14th, but I was credited with the higher rate, which I recall was 3.53% for the middle tier. It then took the best part of 3 months (missing transfer form) to get my transfer from Standard Life through, by which time the rate had dropped to 3.26% in September. However, they did compensate me for loss of interest. The rate dropped again to 3.01% in December, when I think they also realigned some of the tiers, which didn't affect me. There never have been any fixed bonuses.

The Cash ISA Plus was earning 4.01% when I opened it in April 2009, this fell to 3.53% in December and they wrote to me recently to say that the 0.5% bonus fixed for 12 months (advantage gold account holder - I know I'll be ditching this imminently!) was due to expire on 17th May 2010, putting it on the same rate of 3.01% as the e-ISA.

The only difference between the two, as of next monday, will be that the e-ISA accepts transfers in and the Cash Isa Plus does not. I have a feeling that if I wanted to amalgamate the two, they would not allow the CIP to be transferred into the e-ISA. Otherwise, I guess the rate of one is just as likely to fall as the other.

I've never had their other ISA, the Cash ISA, so I'm not best placed to comment on that one, but I remember various bonuses being involved and their website indicates that the 0.75% one is still running 18 months + later! A more recent bonus is 0.5% depending on whether you subscribed in full or transferred in before end of April 2009. however, the best rate is 2.50/2.75% for £50k+, so it isn't really a competetive option.

I have opened, but have not yet funded, the Santander 3.2% ISA (had I not been moving house I would have got in there when it was 3.5% and I might actually have some money to put in it!) for this year's funds, because:

a - It's a slightly higher rate;
b - It's guaranteed not to fall for 12 months;
c - It's guaranteed to track any BoE rises;
d - It's instant access; and
e - I can manage it online.

Hope this helps,

TE