Nationwide's new online savings account (and new online banking)

glider3560

I noticed today when logging into Nationwide's online banking that there is a new option to log into "MySave Online".

This appears to be a new savings account, but what I think is strange is that it has it's own online banking - separate from the rest of Nationwide's services.

http://www.nationwide.co.uk/savings/instant_access/mysaveonlineplus/Introduction.htm

Anyone know what is going on here? Is this the start of transition to a new online banking/new computer system or are they just trying something new?

strawberrylane

https://www.emoneyfacts.co.uk/news/savings-news.aspx?newsarticleid=198873

martinman3

From http://www.nationwide.co.uk/savings/instant_access/mysaveonlineplus/accessingyouraccount.htm

Existing Nationwide Internet Bankers:
This is a separate site to the existing Internet Bank and is accessed using separate log in details.
If you use the Nationwide Internet Bank your balance can be viewed on the Nationwide Internet Bank, but transactions can only be made through the MySave Online Savings site.

roddydogs

Why would you want that when you can get 2.8% from the AA?

david72

This account has all the telltales (URL format, login screen format, postal address) of having been contracted out to Newcastle Building Society (as was Icesave, etc).

Given the poor interest rate and extremely limited access, I'm not impressed that Nationwide have squandered my money on paying a third-party to set up this dud (I can't believe they couldn't just have developed this in-house, where IT is already a sunk cost). And requiring existing members to have to set up an additional set of login credentials (as the account can't be operated via the existing internet banking service) is just ridiculous.

About the only thing that can be said in its favour is that it pays interest monthly, but not to the account itself, meaning you'd have to manually recredit the interest to the account each month. But since you'd have to be daft to want to open one in the first place..

premierfella

david72 wrote: »

This account has all the telltales (URL format, login screen format, postal address) of having been contracted out to Newcastle Building Society

A good spot! And rather strange. I suppose it could indicate a number of things. Is there any reason why the Nationwide would not want to attract further savings directly at this sort of interest rate (in terms of balance sheet management does it make any difference to them - surely these savings are still included in ratios such as net interest margin, etc)?

This is a little different to the usual branded versions of the Newcastle savings accounts, as the terms seem to indicate that the monies are still deposited with Nationwide rather than Newcastle.

Very odd!

Edit: now having looked at the Newcastle's half-year 2010 report, any chance that this Nationwide account is related to this on page 2:

There is a pipeline of contracts due to come on board throughout 2010; with one major savings administration contract launched in May 2010 with another expected in August requiring 80 new members of staff. Further contracts are also in train for the second half.

Milarky

It could be Newcastle BS - the contact number starts '0845 60' which matches other contact numbers NBS gives out.

glider3560

premierfella wrote: »

This is a little different to the usual branded versions of the Newcastle savings accounts, as the terms seem to indicate that the monies are still deposited with Nationwide rather than Newcastle.

Wasn't that also the case on the Icesave accounts, which were run by Newcastle BS?

premierfella

glider3560 wrote: »

Wasn't that also the case on the Icesave accounts, which were run by Newcastle BS?

You are of course right. I see Aldermore are another of their white label customers. I must be thinking of the HBOS accounts (AA, etc).

Along the same lines as david72, I can understand a "new" or non-bank getting into bed with Newcastle in this way, but for another (largest) building society with an existing internet savings business to do it is somewhat perverse unless Nationwide has long-term plans to ditch its "in-house" internet savings accounts.

alanq

... or take over Newcastle Building Society?

Existing Nationwide e-accounts can only transfer money to / from a Nationwide Bank Account. The new one can transfer to/from any UK bank account.

LardyCake

... or part of a wider outsourcing drive?

"Nationwide awards BT managed security services contract"
see: http://www.computing.co.uk/computing/news/2267605/nationwide-awards-bt-managed