Cahoot Savings Rate Increase

Legacy_user

I noticed that my Cahoot Savings Account currently will match or better the Bank of England Base Rate - yet is still paying 4.55%.

I challenged Customer Services as they told me the following.

Further to your message, I can confirm that the rates on our savings account increased to 4.80% on 09/08/06. This rate increase has been backdated to 03/08/06.

This information will be updated on our website shortly.

I think that makes cahoot one of the better Internet Savings Rates.

Gambler

is that the same as the introductory savings account rate?

System

Gambler wrote:

is that the same as the introductory savings account rate?

I believe this is the standard rate.

martyn4764

HertsSaver wrote:

This rate increase has been backdated to 03/08/06.

Yesss!! I emailed them twice after the BoE rate rise to ask whether their own increased rate would be backdated to the date of the BoE announcement (pointing out that, if not, they're in breach of their guarantee for the intervening period)...

They did say they had no plans to backdate, but looks like they changed their minds :T

Prudent

Do you have to email them to get the amount backdated? And thank you both because this had escaped my attention.

System

I do not think you need to e-mail them - I imagine they have just been slack in updating things.

Moggles_2

Is that the same as the introductory savings account rate?

It's Cahoot's standard internet savings account.

The bonus savings account still pays 4.55% before tax, so its savers need to transfer to the standard account to get the better rate. Existing customers can open an account and request a transfer between accounts over the phone.

The BoE base rate guarantee ends on 31 December 2006.

capehorn

Capital One's Base Beater is guaranteed to beat (although probably only by 0.05%) the base rate until July 2010. Their rate was increased 4 days after the base rate rise.

Can't see anything wrong with that one either.

martyn4764

Prudent wrote:

Do you have to email them to get the amount backdated?

Hi

No, you don't, Prudent. It's just one of my numerous hobbyhorses - if they need 30 days or whatever to announce a raise, OK, but if they don't backdate it for the period between the BoE raising its rate and Cahoot raising theirs, then Cahoot are breaking their guarantee during that time.

If the rate were to rise 4 times in a year (bring it on! ) that's be 1/3rd of the year you'd actually be getting a rate less than their guarantee.

Martyn

humanbeing_2

Thanks OP, I didnt know they gauranteed this. I was about to think about moving my savings but i like how you can get interest paid monthly at cahoot, ive been looking for another account with good rates that does that. looks like cahoot can borrow my money for a while longer

Innys

On a related issue, the Coventry First account guarantees to better the BoE rate by 0.6% for a year, but they are still quoting a rate of 5.1%. has anyone had confirmation from them that they will be increasing their rate?