Halifax ISA Saver Online Annual Interest

harrpau7

evenasus wrote: »

I'm surprised how many people think they will receive the annual rate (12 months worth), no matter how short a period their money has been in their account.

When it's not made clear on the website or not explained clearly in branch, it's quite an easy mistake to make.......

jonmcclelland

harrpau7 wrote: »

When it's not made clear on the website or not explained clearly in branch, it's quite an easy mistake to make.......

When you applied for the ISA an online prompt, telephone advisor or branch advisor tell you that the 3.0% is AER meaning annual equivalent rate, basically meaning what youd get if that money was in there for a full twelve months. Every time I have done something on the phone with them, they've always said that from their scripts.

TunaTwist

harrpau7 wrote: »

This is what I am wondering, but it makes no mention of the account needing to be open for 12 months, hence why I am asking.

All it says is:

Current rates:

Interest rate currently payable is 3.00% tax free/AER variable which includes a fixed introductory bonus of 2.75% for 12 months from the date of account opening, for accounts opened from 5th March 2012. At the end of the bonus period, variable rates without bonus will apply, currently this is 0.25% tax free/AER.

I opened my account before 5th March 2012, so little bit confused as to whether I qualify or not.......

So I opened my account two days ago (3rd of April) and maxed the deposit (5340). Does that mean that today I should, at some point, be getting 5.75% of 5340 divided by 365 (so 84p)?

I'm not sure if the bonus is quite as straightforward as that though. At 3% it should be 43-44p for having the account for one day.

Also is the interest applied and then calculated daily on your Cash ISA? Like do I get the day's interest plus the amount in the account times the interest rate?

Thanks guys!

evenasus

The 3% is includes the bonus.

3.00%
tax free/AER variable including 12 month fixed bonus of 2.75%

So the first days interest would be 43-44p

TunaTwist

evenasus wrote: »

The 3% is includes the bonus.



So the first days interest would be 43-44p

Ah okay, thank you!
I set it up because it would be fastest to do so from my existing account. I guess I'll be switching in a year!

evenasus

TunaTwist wrote: »

Ah okay, thank you!
I set it up because it would be fastest to do so from my existing account. I guess I'll be switching in a year!

You can see how your daily interest would grow on this spreadsheet.