18month Bond 2.9%/3%

fiesta04

Just launched from Santander for 123 account holders.

2.9% for up to £200,000
3% over £200,000.

As things stand not a bad offering.

F4

Vortigern

At first sight this seems a poor option when Santander are paying 3% on the 123 account. I wonder if they're planning to make the 123 account less attractive?

Wyndham

And I got 4.00 from them on one last April.... how rates have fallen!

SallySunshine

What about this one
Same length of time, same interest and only 1k deposit


https://www.gecapitaldirect.co.uk/savings_accounts/ge_bond_accounts.html

innovate

Vortigern wrote: »

At first sight this seems a poor option when Santander are paying 3% on the 123 account. I wonder if they're planning to make the 123 account less attractive?

Someone claimed they applied for a 123 and got a leaflet in their confirmation pack saying the rates would be lowered from February. That's the only mention I have seen so far of the rate dropping - but it wouldn't be too surprising.

SallySunshine wrote: »

What about this one
Same length of time, same interest and only 1k deposit


https://www.gecapitaldirect.co.uk/savings_accounts/ge_bond_accounts.html

It's £500 minimum only at Santander.Good find though. Same deal at Punjab National Bank, too.


Interesting smallprint from the Santander website:

Gross/AER based on funds deposited by 1st January 2013. If you deposit funds after 1st January 2013, the interest you receive may be slightly less than the advertised AER. Rates effective from 3rd December 2012.

"Slightly less than the advertised AER" - - - -- whatever next?!?!

robotrobo

Vortigern wrote: »

At first sight this seems a poor option when Santander are paying 3% on the 123 account. I wonder if they're planning to make the 123 account less attractive?

QUOTE
account. I wonder if they're planning to make the 123 account less attractive?Someone claimed they applied for a 123 and got a leaflet in their confirmation pack saying the rates would be lowered from February. That's the only mention I have seen so far of the rate dropping - but it wouldn't be too surprising quote

ANSWER
I asked this question in santander this afternoon, the answer i got was that staff was not aware of any changes!, but she said that eventually everything seems to change & that if there was a change then usually the existing stops the same & that new rates if applied ,will only apply to new savers .
i suppose like all accounts if you say get 4% on a isa fixed , that will stay the same untill the fixed term comes to a end.
im not so sure i believe in what i am writing, i just hope it turns out ok, if not i will be looking for a new home for my £20,000.
Also i took out the new bond today 2.96%, thats fixed for 18 months,seems a good deal in todays climate.
We already own a joint 123 account & i am looking in to the pros & cons for opening one each. £500 in each account funded externally with 2 direct debits i carnt see a problem with that, but both accounts will need to be funded to the max £40000 for it to pay, what do you all think?.:D




I

ses6jwg

I don't know where the rumour has come from that the rate will be reduced. I am not aware of any such change.

innovate

You will get slightly less than 3% AER if you don't have Direct Debits, because of the £2/mth account fee on the 123.

You might do better with 3 Lloyds Vantage accounts (£5K in each) and 3 BOS Vantage accounts (also £5K each). Question on the Vantages is whether you can get them all.

Question on 123 and Vantages is whether they stick to the 3% AER, which is a variable rate at both, I believe.

innovate

ses6jwg wrote: »

I don't know where the rumour has come from that the rate will be reduced. I am not aware of any such change.

It was suggested by someone who applied for a 123 - see this post.

I have asked for clarification but nobody has responded as yet.

Would be delightful if you, as an insider, could confirm there's no truth to the rumours!

pqrdef

innovate wrote: »

It was suggested by someone who applied for a 123 - see this post.

It was about the Intelligent Finance iSaver rate, not the Santander 123.

ses6jwg

innovate wrote: »

It was suggested by someone who applied for a 123 - see this post.

I have asked for clarification but nobody has responded as yet.

Would be delightful if you, as an insider, could confirm there's no truth to the rumours!

We've heard nothing at branch level. It's business as usual. Such a major change to our core product would have been communicated.