Skipton Cash ISA - warning to current savers

AberDaber

bigfreddiel wrote: »

seems to me the names "Cash ISA" and "Cash ISA (182)" are different - for what its worth.

"Cash ISA" and "Cash ISA (182)" are the exact same product, the (182) is merely the product code that Skipton use at head office and in branch to identify the product. In your initial application form it will have said "Cash ISA (182)" this helps make sure that customers are put into the right product. For example with Fixed Rate ISA's there may be more than one available and so it is necessary to be able to differentiate between them all with a code.

FridaysVictim

AberDaber wrote: »

"Cash ISA" and "Cash ISA (182)" are the exact same product, the (182) is merely the product code that Skipton use at head office and in branch to identify the product.

Exactly .
Would have been nice to know as a customer .

I originally had a Tessa Isa which was transferred to these w*****s in around 2005/6 .
I don't have any paperwork which calls it anything other than a "Tessa ISA" or a "Cash Isa" (obviously not a Cash Isa (182)) .

Can you give me any other example of a product (financial or otherwise) where the title is changed but the paperwork sent to the customer stays the same ?

I have had many , many accounts with various institutions over the years and none have ever tried this before .

Anyways , this thread was merely a warning to other potential victims that Skipton Building Society may be trying to shaft you with incorrect titles to their accounts .

Be most excellent .

black_taxi_2

there regular saving cash isa----do nothing

anyone do this---they automaticly continue into the next year

quaint.saver

I was caught by this . I closed my account and took all my money out . I put it in an instant access online account paying 2.5% before tax . I get the same rate -2% after tax as i used to get in my Skipton ISA. I will never use Skipton BS again ever!

webmasterpolo

quaint.saver wrote: »

I was caught by this . I closed my account and took all my money out . I put it in an instant access online account paying 2.5% before tax . I get the same rate -2% after tax as i used to get in my Skipton ISA. I will never use Skipton BS again ever!

OK some home truths:

You're nuts. You've moved money from a tax free account to a taxable account, and you've not even chosen the best interest taxable account - which would be over 3% gross, 2.4% net. You could of course had a cash ISA paying 3% and be even better off. I repeat nuts.

In addition you say you will never use Skipton again, which is obviously going to disadvantage you when they next have a market leading product, which they will from time to time as others will. Don't take business personally, don't cut off your nose to spite your face.

-Web

webmasterpolo

FridaysVictim wrote: »

I actually received a letter from a Skipton manager (Claire Davey) who said "We only have one ISA called Cash ISA" .

This is correct when talking in the context of current ISA offerings. Obviously over the years there will of been dozens of different ISA offerings, but right now there is only one instant access ISA available to open.

Is this the context this Claire Davey was talking in?

-Web

webmasterpolo

baby_boomer wrote: »

Nice one FV.

It would seem that there may be grounds for complaint and I'll certainly complain.

No grounds whatsoever.

They have the right to change the rate as it's not a fixed account. It's upto you to review your own finances.

In the current financial climate looking at the big picture, margins on lending and savings are at record lows, hence why the big banks are struggling, let alone BS.

A bank profits in other ways, so can always subsidise a rate (think free banking) while a BS cannot. Yes they have no shareholders, yes they are mutually run for the benefit of members. If they go bust all the members loose, so they have responsibility to the majority, which naturally means the few will lose out, the same as in all big picture decisions.

-Web

thor

webmasterpolo wrote: »

In the current financial climate looking at the big picture, margins on lending and savings are at record lows, hence why the big banks are struggling, let alone BS.

I was just catching up on old threads and came across this. The way I see it margins are way higher than a few years ago and nowhere near record lows. The Banks and Building Societies have been raking it in since the financial crisis began(after being started by the banks). Also don't they have access to BOE money at 0.5% which they can loan out at 10 times that rate and more?

webmasterpolo

thor wrote: »

I was just catching up on old threads and came across this. The way I see it margins are way higher than a few years ago and nowhere near record lows.

No. Margins that used to be 3%, are now 0.6%.

It's not a question of base rate is 0.5% so they only pay this to borrow and they charge 10% on loans so they make 9.5% margin.

It's more like they pay 2.5% savings rate, mortgage rate is 4%, costs are 0.9%, margin is 0.6%.

-Web