Nationwide Flexclusive ISA - 4.25%, instant access

DragonQ

njp6 wrote: »

Whilst the T&C for this account lets them lower the rate to 2% the loyal customer that NW prides itself on should expect them to match the current flexclusive ISA rate (2.25%) I will be writing to them to this effect and see what they come back with.
It's worth a go as my Dad used to say if you don't ask you wont know!

I doubt they will do anything - after all, they've already lost a fair amount on this account by offering such a high interest rate in the first place (for the time anyway), plus screwing up the T&Cs allowing people to transfer in money, plus having to backdate that interest for those customers that requested it.

I think the best we can hope for is that the "Base Rate + 1.5%" rate will continue to apply until at least ISA season (March/April 2014), where hopefully there'll be a half-decent account that allows transfers in (3+%). They haven't said the rate will drop, just that it's only "guaranteed" until 01/01/2014.

bondy01

DragonQ wrote: »

I doubt they will do anything - after all, they've already lost a fair amount on this account by offering such a high interest rate in the first place (for the time anyway), plus screwing up the T&Cs allowing people to transfer in money, plus having to backdate that interest for those customers that requested it.

I didn't request it but moved money from another ISA account in I think May. Got a letter a few months later saying the interest will be backdated to Jan.

penny_pincha

Turning this idea on its head - if you have a mortgage which is charging you a high interest rate, yet allows later withdrawl of funds, may I suggest that putting funds into it, will in effect be a way of saving & still having access to those funds.

DragonQ

penny_pincha wrote: »

Turning this idea on its head - if you have a mortgage which is charging you a high interest rate, yet allows later withdrawl of funds, may I suggest that putting funds into it, will in effect be a way of saving & still having access to those funds.

Unfortunately (or fortunately) I have no debts so can't do any offset stuff like this. I do still have student loans to pay back but even a piddly 2% ISA would be better than the 1.5% rate on those.

Carrie_bie

leaphaze wrote: »

Is there anything in the T&Cs for Issue 4 that prevents this? This is a transfer within NW not a transfer into NW.

Ever hopeful!

hello,

just to let you all know, I called Nationwide earlier and asked if I could transfer my existing flexclusive ISA to the Flexclusive ISA issue 5. They said no, and that it's only for cash deposits up to £5760. Sad times :sad:

so now I'm off to find another ISA to transfer my money into - I think I will go with Virgin; they're a whole 0.06% more than First Direct. Wow! Really spoilt for choice there!!!

Incidently, the guy I spoke to advised me to open new ISAs in April because that's when the rates are at their highest. I'd not considered this before, but that was because I had already opened 1 ISA within that tax year and I thought that was all you were allowed to do.
Now I'm wondering if you're allowed to OPEN more than one ISA in a tax year? Obviously you can't fill both of them up with the allowance, but what if you put half in each??

If I am allowed to open more than one, I think I might transfer my existing cash into a First Direct one, and then open a "transfers not allowed" ISA with a higher rate for my deposits this year.

I've just realised that I really should have asked the guy at Nationwide this question, rather than you guys.... Sorry.

...still, any ideas fellow Flexclusiveites??

rb10

Carrie_bie wrote: »

so now I'm off to find another ISA to transfer my money into - I think I will go with Virgin; they're a whole 0.06% more than First Direct. Wow! Really spoilt for choice there!!!

You'll get 2% if you just leave it in the Flexclusive ISA after the rate drops on 31 October.

Only 1.75% at Virgin.

Carrie_bie wrote: »

Incidently, the guy I spoke to advised me to open new ISAs in April because that's when the rates are at their highest. I'd not considered this before, but that was because I had already opened 1 ISA within that tax year and I thought that was all you were allowed to do.
Now I'm wondering if you're allowed to OPEN more than one ISA in a tax year? Obviously you can't fill both of them up with the allowance, but what if you put half in each??

If I am allowed to open more than one, I think I might transfer my existing cash into a First Direct one, and then open a "transfers not allowed" ISA with a higher rate for my deposits this year.

It is true that rates are often higher in March-May, as this is the peak time when most people are looking to deposit their allowance.

Rates sometimes rise a little around September/October, as there are a number of 18-month products around. I doubt that'll happen this year, though, as there's little competition in the savings market at the moment.

Regarding the rules for what you can do - you can open as many ISAs as you like; the only restriction is that your allowance for the current year has to all be paid in to the same account.

So you would be permitted to transfer your Flexclusive ISA to Bank A, and open an ISA for your 2013/14 allowance at Bank B. (Although as identified above it may be preferable to just leave the whole lot in the Flexclusive ISA, and add this year's allowance there too).

DragonQ

rb10 wrote: »

Rates sometimes rise a little around September/October, as there are a number of 18-month products around. I doubt that'll happen this year, though, as there's little competition in the savings market at the moment.

You can say that again, I might as well go back to poker with the current rates!

Carrie_bie

Rb10 - thanks!! you're very helpful

I have one more question though - where did you find out that the existing Flexclusive ISAs revert to 2% after they mature at the end of Oct?

typistretired

Flexclusive ISA Issue 1
Notes
*
Fixed introductory rate until 31 October 2013.
Rates are variable. The annual interest rate (AER) is guaranteed to pay 1.50% above the Bank of England Base Rate until 1 January 2014 and will track changes in the Base Rate. Any changes will be made within one month of a Bank of England announcement

tunde10

Does anyone know when the annual interest will be paid for this ISA? I think it was paid end of September last year but i am unsure due to the big rate drop on 31st October.