RBS - Strange Account

KorkyKat

I have a standard current account with RBS - usual payments in direct debits etc. It used to pay about 0.5% interest and now it's more like 0.0000000001%.

For the past few weeks they have constantly telephoned me and suggested I put my money into a savings transfer account with 2% interest. They said it works like this:

Most of my money goes into this account and if I draw any money on my cash card and there isn't enough in my current account it will be automatically be topped up from this account.

I have asked is there any information on their web page and they said no. Likewise a big no when I asked if there is any printed information.

I don't feel at all happy having an account where the only details I have been given are verbal. Anybody else heard of this type of 'account'? They also told me I could cancel it after a few months if I didn't like it.

Given that RBS never bothered to tell me years ago that my Cash ISA was dead but charged me for cancelling it I have zero faith in them.

Could this gesture have anything to do with the fact that I have been re-investing amounts of money from my current account in banks that pay a higher interest?

Thanks for any replies.

jalexa

KorkyKat wrote: »

For the past few weeks they have constantly telephoned me ...

How often is "constantly" and how do you "know* it was RBS?

KorkyKat

It was RBS. They verified it with security details. Once maybe twice a week.

Forgot! They told me local branches can make this kind of 'local initiative'!

silvercar

Anybody else heard of this type of 'account'?

I have this account. The current part you can just ignore and every night it moves across any money needed to keep the account in credit. I think they call it a sweeper facility. Its only for favoured customers, allegedly, so you won't find details on the web or everyone will want one!

jalexa

KorkyKat wrote: »

It was RBS. They verified it with security details. Once maybe twice a week.

Forgot! They told me local branches can make this kind of 'local initiative'!

Do you mean *you* blurted out *your* security details first? I'm really interested how the caller proved their bone fides first.

If you want you can opt out of telephone marketing.

An aside:

I walked into a RBS branch recently. A "greeter" at a desk acknowledged my presence (good) though I didn't need help. The "greeter" continued with his business which was "cold calling" a customer to invite the customer in for a review. I heard the customer's name and all the account types held.

Not impressed. That call should have been made out of public earshot.

mazza111

Have one of these accounts, very handy. You will still get all the account details given to you, sort code, acc number etc. Got it after my branch called me when they thought I had too much money in my current account . They would laugh if they seen my balance on both accounts now :rotfl:

premierfella

Whether "local initiative" or not (and it may well be a non-standard special rate), I can't see how a bank would be able to offer a savings account to a customer without providing the relevant terms and conditions.

Silvercar is almost certainly right. An automatic sweep facility could probably be latched onto most savings/current accounts - I would be asking them for the exact name of the account they are offering and asking them why they are unable to provide the terms and conditions, as that is VERY unusual, unless the sweeper facility is simply added to one of their standard variable rate savings accounts and the interest rate is simply an exclusive (variable) rate.

System

Could it be this account : http://www.rbs.co.uk/personal/savings/g1/instant-access/savings-account.ashx

It is a savings account with a sweep facility, so it looks likely.

KorkyKat

Afraid not. That one is paying the most generous rate of 0.10% AER. I'm tempted to go in next week and ask them to lend me a million at 0.10% AER.

Thank You for the replies.

alanq

I was in Brighton at the weekend. The Natwest branch had leaflets out for an account (as far as I recall) paying 0.1% but with a 1-year 2% bonus. I didn't bother picking up a leaflet as I assumed I would get details online or in my local branch. When I looked I found no trace. Do "special" accounts exist that can only be applied for at selected branches?

I wouldn't touch any account without written details. There are more than enough disputes regarding Ts&Cs with NatWest / RBS accounts even when written details ARE provided. (e.g. the confusion about eSavings accounts).

silvercar

I don't think it is the account that is special, just the sweeping facility.

My higher rate one is called instant access savings account and the current account is a private bank account.