Furious at Lloyds for chopping and changing my rates. Do I have any recourse?

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slapdash
slapdash Posts: 3 Newbie
in ISAs & tax-free savings
I've banked with Lloyds for about 25 years since opening my first account at the age of 5. My family has banked with them for years. Today I checked my ISA and discovered that I've been earning 0.1% for the last two years. A back of the envelope calculation tells me that I'd be around £1000 better off today had the rate not been chopped.

I realise that by the letter of the law Lloyds have done nothing wrong but I can't help feeling that they've confused my loyalty for apathy, gullibility and/or stupidity. How can they think that any saver would ever be happy with such a rate?

I suspect that the only good move now is to switch banks to someone that will consistently offer their best rate. Does anyone do this? Is there any other form of recourse available to me?

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  • Lokolo
    Lokolo Posts: 20,861 Forumite
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    Banks don't care for loyalty.

    No other recourse. Move your money.

    The best ISA that allows transfers is the Halifax

    http://www.halifax.co.uk/savings/accounts/cash-isas/isa-direct-reward/

    There are instructions here

    http://www.halifax.co.uk/savings/accounts/cash-isas/transfer-your-isa/
  • pqrdef
    pqrdef Posts: 4,552 Forumite
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    Lokolo wrote: »
    The best ISA that allows transfers is the Halifax
    Not sure that quite meets the need here.
    "It will take, five, 10, 15 years to get back to where we need to be. But it's no longer the individual banks that are in the wrong, it's the banking industry as a whole." - Steven Cooper, head of personal and business banking at Barclays, talking to Martin Lewis
  • ViolaLass
    ViolaLass Posts: 5,764 Forumite
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    slapdash wrote: »

    I realise that by the letter of the law Lloyds have done nothing wrong but I can't help feeling that they've confused my loyalty for apathy, gullibility and/or stupidity. How can they think that any saver would ever be happy with such a rate?

    Loyalty in this context suggests that you were aware of the poor rate but chose to stay with Lloyds. If you weren't aware of the rate because you didn't think to check, isn't this something closer to apathy?
  • Lokolo
    Lokolo Posts: 20,861 Forumite
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    pqrdef wrote: »
    Not sure that quite meets the need here.

    How doesn't it? The ISA he is currently earning is 0.5%.

    The Halifax ISA is 3%.

    He is whinging about the interest rate, move the money.
  • dunstonh
    dunstonh Posts: 116,649 Forumite
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    Today I checked my ISA and discovered that I've been earning 0.1% for the last two years. A back of the envelope calculation tells me that I'd be around £1000 better off today had the rate not been chopped.

    Perhaps you are deflecting your anger at Lloyds when it should really be at yourself?
    I can't help feeling that they've confused my loyalty for apathy, gullibility and/or stupidity.

    How many times over the last 2 years have you looked at your statement or checked your interest rate during a period of record low interest rates?
    How can they think that any saver would ever be happy with such a rate?

    Have you seen the base rate?
    I suspect that the only good move now is to switch banks to someone that will consistently offer their best rate. Does anyone do this?

    the market is full of bonus rates and has been for a few years. Consistent rates tend to be lower. This is what league tables do for you.
    Is there any other form of recourse available to me?

    Take responsibility for your finances. The bank is not there to do it for you.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • bigfreddiel
    bigfreddiel Posts: 4,263 Forumite
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    slapdash wrote: »
    I've banked with Lloyds for about 25 years since opening my first account at the age of 5.

    I realise that by the letter of the law Lloyds have done nothing wrong but I can't help feeling that they've confused my loyalty.....

    I suspect that the only good move now is to switch banks to someone that will consistently offer their best rate. Does anyone do this? Is there any other form of recourse available to me?
    loyalty went out the window about 15+ years ago - its down to us to look out for the best rates and move money around as and when.

    gone are the days we had proper bank managers - i remember in the 70's seeing my manager for a loan of £1000 to buy an MG Midget - the loan was no problem used my house (that only cost £7k) as a surity (or whatever its called) and the manager thought it a great thing to do - buy a sports car at my age - he'd done the same in the 30's!

    thats all gone now......
  • sheslookinhot
    sheslookinhot Posts: 1,988 Forumite
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    It's been a while since I saw one of these threads. They must still be out there.
    Mortgage free
    Vocational freedom has arrived
  • jimjames
    jimjames Posts: 17,676 Forumite
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    sheslookinhot wrote: »
    It's been a while since I saw one of these threads. They must still be out there.
    Great news for shareholders of the banks!

    Two choices:

    1) Move your money each year to keep with the best rate
    2) Take a lower rate from a bank that is far more consistent but accept it isn't the best rate around.
    Remember the saying: if it looks too good to be true it almost certainly is.
  • iereboy
    iereboy Posts: 415 Forumite
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    Apathy and laziness of customers are great for profit. Long live laziness.

    Time to check the prices of a certain's bank shares!
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