Halifax ISA beware

santamed

My wife and I each opened an ISA Saver last April with Halifax. The interest was changeable but averaged just over 3% for the year. I saw them advertising a new ISA 'ISA DIRECT Saver' with a 3.6% interest rate and checked what the interest rate was on our ISA Saver - 0.5%. What a rip off!!! a quick call to Halifax and flipped our old ISA to their Direct Saver and increased the interest rate by over 3%. How many thousands of savers have not noticed this latest scam by the banks.

Masomnia

Oldest trick in the book, relying on apathy and people not checking.

To be fair to them I rang them this morning to change my ISA Saver Direct (other reward ISA matured) to the new Direct Reward ISA, which is 2.6%, so a bit more than 0.5 and it was actually only a five minute job.

DON79

You said it yourself - the interest was changeable - which means its variable and you knew that when you opened the original ISA which was a year before Halifax launched their ISA Direct Saver, therefore it is up to you to keep checking if you are on a favourable rate still. It is not a scam at all.

opinions4u

santamed wrote: »

My wife and I each opened an ISA Saver last April with Halifax. The interest was changeable but averaged just over 3% for the year.

Assuming it was the ISA Saver Direct Reward, it paid a rate of 3% FIXED for the first 12 months. It was also made clear that at the end of that 12 months the rate would move to whatever that ISA Saver Direct (without Reward) paid.

Here's an extract from the terms and conditions that you agreed to:

"At the end of the 12 month reward period the Halifax ISA Saver Direct interest rate and account conditions will apply to your account".

I saw them advertising a new ISA 'ISA DIRECT Saver' with a 3.6% interest rate and checked what the interest rate was on our ISA Saver - 0.5%. What a rip off!!!

The new rate is actually 2.6% and is variable. It's not a rip off. It's exactly what the terms and conditions you agreed to a year or so ago said would happen.

a quick call to Halifax and flipped our old ISA to their Direct Saver and increased the interest rate by over 3%. How many thousands of savers have not noticed this latest scam by the banks.

You can call it a scam, rip-off or whatever. In the end it's up to individuals to manage their money sensibly. At least Halifax make it extraordinarily easy to change from one ISA to another.

chris_m

Sorry Craig, they do not mislead people. The terms are made very clear from the outset, it's up to people to read them and take appropriate action at the appropriate time.

opinions4u

Craig12 wrote: »

Sorry mate, but you are wrong. Halifax misled their customers on the ISA Saver. They stated it as 0.50% and then 0.50% (variable) just before the new tax year opened up. You see that 0.50% would have been just that, but they change it to 0.50% (variable), which means that instead of getting over £30 on my money, all I got was £9.43.

It sounds like your account was a variable rate ISA Saver with a passbook. The 0.5% rate relates to the ISA Saver Direct which doesn't have a passbook and does have a different set of terms and conditions.

Its all a big crock of crap. And we all know it, but the banks also know that we need them in order to get more money, so with that mindest, then banks can take us for almost everything we have and there is nothing we can do about it. Customer complaints? Yes, but the banks may only be fined £3 million each for this misbehaviour. Thats nothing, they can recoup that by stealing investor profit from the stocks and shares and make out that "something is happening". Its an old game, and its going to continue and your grandchildren and their children and their children are going to become the new mugs.

Have you considered taking medical advice? You are displaying signs of depression, paranoia and unreasonable anger on these boards. Get in to see your GP in the next few days.

Excessive time on the internet in such cases may not be best for you.

rb10

Craig12 wrote: »

I signed up for a ISA Saver! :mad:

So in signing up for an ISA saver, you agreed to the T&Cs, extracts of which are below:

Halifax_ISA_Saver_Terms_and_Conditions wrote:

Page 12:
Interest rates are variable. If you have a variable rate account, higher rates are paid for larger balances.
Page 30:
If you have an account that pays interest at a variable rate which is not linked to a reference rate, we can change interest rates ...

http://www.halifax.co.uk/savings/forms/generic_sav_app/forms/pdfs/1_336202-9.pdf

And as if that wasn't clear enough, they even give you a summary box, which tells you all the important stuff on one page, which includes ...

Halifax_ISA_Saver_Summary_Box wrote:

Account Name Variable Rate Halifax ISA Saver
Interest rates (AERs) Interest rates in more detail
[...]
Variable interest - this means the rate you earn can go up or down

http://www.halifax.co.uk/savings/ImportantInfo/ImpInfo_variableISA.asp

How much clearer do you want them to make it?

glider3560

Craig12 wrote: »

I never saw any terms or conditions. My mother recommended the account and I took it. It paid very very well, so why question.

By opening the account you have agreed to the terms and conditions. Either by ticking a box online saying you agree to them or by signing a form in the branch/by post which agreed to them.

Squish_21

Seems to be a pattern of taking out ISA's then rates dropping. Just happened o me with Natwest.