Nationwide Flexclusive ISA - 4.25%, instant access

Paul_Varjak

sara_bande wrote: »

Having read through mucjh of this thread it would seem sensible to go ahead with the transfer from a NWD isa to the Flexclusive ISA. I can't see that there could be any financial penalties? Has anyone seen anything to indicate otherwise in the T&C?

No I have not, but I suggest you read the T&Cs you were given.

sara_bande

Thanks.
I haven't been given any T&C, opened the account in branch....so am referring to the online T&C.
It's quite a feat to keep up with NWD and the changes to accounts. Opened an Online Issue 5 ISA a few weeks ago with a view to transferring funds from an eisa when bonus expires at end of Oct. Now I see that this no longer exists and NWD have now moved from Issue 6 to Issue 7.

Paul_Varjak

Someone did report they had no problems moving previous years' e-ISA monies to a Flexclusive via internet banking.

I agree it has been difficult keeping up with Nationwide's new accounts this year and most of them have been rather good, though rather short lived!

le_loup

sara_bande wrote: »

Opened an Online Issue 5 ISA a few weeks ago with a view to transferring funds from an eisa when bonus expires at end of Oct. Now I see that this no longer exists and NWD have now moved from Issue 6 to Issue 7.

Yes but you still have an issue 5. The change to 6 is only for new accounts. I have an issue 3 which is still in existence and will pay 3.1% until October 2013.

le_loup

Here are the T&Cs of the Flexcusive ISA:

The following conditions apply to Flexclusive ISA only.

Account holding and ownership

1. The account is only available to individuals aged 18 or over who hold a Nationwide FlexAccount with a Visa debit card (not a cash card+) and:
   1. have been paying in £750 a month (excluding internal transfers) for the last three months; or
   2. complete an account transfer to us (from a non-Nationwide account) using our Account Transfer Service or have done so in the last four months, and
   3. who continue to hold a Nationwide FlexAccount with a Visa debit card (not a cash card+) and deposit at least £750 per month into the FlexAccount (excluding internal transfers) following the opening of the Flexclusive ISA.
2. If you no longer meet the eligibility criteria we reserve the right to transfer the account to another ISA account within our range.
3. You can only hold one Flexclusive ISA.
4. The minimum deposit to open the account is £1, with a minimum operating balance of £1. The maximum balance on the account is £5 million.

Interest

1. Interest is paid annually on 30 September either into the account, a Nationwide account (excluding Regular Savings) or a current account with another bank or building society.
2. We will calculate interest on each whole pound in the account.
3. The interest rate payable on the account is variable and is based on the balance in the account.
4. At any time that the account interest rate is linked to the Bank of England base rate, changes to the account interest rate will take place within one month of a change to the Bank of England base rate.

Taking money out

1. Withdrawals are permitted without notice or loss of interest.
2. From the date of your death the ISA will receive net (with tax deducted) interest at the current Champion ISA core interest rate but never less than the lowest interest tier of the e-ISA

xylophone

Without quoting the relevant wording it is not clear what point you are trying to make.

I thought people were capable of clicking on the first link and reading the terms on ISAs - I did indicate ISAs? The general terms and specific terms of Flexclusive (post 671) are there.

The but was because of the information concerning internal transfers of ISAs in the second link cited - people can read for themselves and make up their own minds?

rexel

where is the link to transfer your old isa held with nationwide to flexclusive that i have at 4.24

innovate

rexel wrote: »

where is the link to transfer your old isa held with nationwide to flexclusive that i have at 4.24

may be on the link xylophone posted?

xylophone

There is clearly confusion.
This is the press release for the original account
http://www.nationwide.co.uk/mediacentre/pressreleases/viewarticle.htm?ID=1945
In particular:

The minimum opening balance for Flexclusive ISA is £1, with a maximum deposit of £5,640 for the current tax year.

RATES FOR FLEXCLUSIVE ISA, EFFECTIVE 7 APRIL 2012

FLEXCLUSIVE ISA Overall rate including bonus (AER* tax-free) Core rate (AER* tax-free variable) Bonus rate (AER* tax-free)
£1 - £5,640

4.25%

2.00%**

2.25%***

**Rate guaranteed to pay at least 1.50% above Base Rate until 1 January 2014. Any changes will be made within one month of a Bank of England Base Rate announcement.

***Bonus rate fixed until 31 October 2013.

Availability: in branch
Withdrawals: without notice or loss of interest
Deposits: unlimited, up to annual cash ISA allowance
Min. opening balance: £1
Min. operating balance: £1
Max. operating balance: £5,640

However, (4) in Flexclusive T&C cited (post 671) it says
The minimum deposit to open the account is £1, with a minimum operating balance of £1. The maximum balance on the account is £5 million.

There is nothing in the specific Flexclusive T&Cs about transfers into this account from other ISAs whether internal or external
BUT

(a) the Flexclusive is undoubtedly a cash isa

(b) the T& Cs are quite specific that

"Transfers from your Online ISA to another cash ISA product (excluding another Online ISA or e-ISA), must be done using a paper application form and cannot be done from your card account."


"Transfers from your e-ISA to another cash ISA product, or from another cash ISA to your e-ISA, must be done using our paper transfer process and cannot be done from your card account. Transfers from one e-ISA to another e-ISA can only be carried out on the Nationwide Internet Bank."

(c)"Transfers from your Online ISA to another cash ISA product (excluding another Online ISA or e-ISA), must be done using a paper application form and cannot be done from your card account."

The information on Nationwide's website concerning internal transfers is also quite specific on the above point.

All that said, it is quite clear that people have been able to effect on-line transfers from their e/on-line ISAs to the Flexclusive ISA.
So????? Who knows?

someone

It seems they don't have a leg to stand on.

Reading the ISA T&C's, Flexclusive T&C's and the Interest rate leaflet I have from when I opened the account they have to pay the rate and allow the transfer. If they want to make any material changes to the T&C's they will have to give 2 months notice.

I have sent a secure message asking if my reading of the T&C's is correct and if not for them to highlight which clause causes a problem.

Interestingly on the interest rate leaflet I have it says

£1+ 4.25%

Contradicting the press release above which says

£1 - £5,640 4.25%

Small print applying to the rate on the leaflet says

Includes a 2.25% bonus, fixed until 31 October 2013. The annual interest rate (AER) is guaranteed to pay at least 1.5% above the Bank of England Base rate until 1 January 2014. Any changes will be made within one month of a Bank of England announcement. Eligibility criteria apply.

This type of mistake is something that might make heads roll