A quick question about A & L's 10% savings account from last year

jimmyv_2

Hey all, my first ever post and just a quick question it is too. Regarding an account Martin's email recommended this time last year.

I've just recieved a letter from A&L saying that at the end of the year my money in their Premier regular savings account (the 10%interest one) is coming to an end and that I've earned an estimated £160ish on £3000 saved at the end of my term. Now, my dilemma is this, I'm 100% certain £160 on £3000 is not 10%. £300 is. I know this is subject to taxes but still I'm feeling a little short changed after them taking £250 a month for 12 months. Have I been calculated up wrong or I have overlooked something simple and started sounding like a prat.

Many thanks to yous

tom188

See this recent thread about Halifax Childrens RS, the principles and rate is the same
http://forums.moneysavingexpert.com/showthread.html?t=303998

Basically the 10% is an annual rate for the money being in the account for a year. Only your first payment is in the account for a year. Subsequent payments are in for a proportion of the year so achieve a proportion of the interest.

Otherwise we would all put the money in a day before maturity.