Nationwide Interest Rate Increases

aleph_0

http://www.nationwide.co.uk/mediacentre/PressRelease_this.asp?ID=999
Nationwide have announced their rate increases. Most rates have gone up by 0.25%, a few have gone up by more, and quite a few have gone up by less (for example, the £1-£9,999 ISA band has only gone up by 0.2%).

As many here predicted, the flexaccount rate hasn't changed!

KTF

aleph_0 wrote: »

As many here predicted, the flexaccount rate hasn't changed!

Well it is a current account rather than a savings account and I dont know of another bank that has increased the interest on a current account as a result of a rate change.

aleph_0

KTF wrote: »

Well it is a current account rather than a savings account and I dont know of another bank that has increased the interest on a current account as a result of a rate change.

Yup, I suppose you are right. I just mentioned it as the only other slightly interesting observation from the announcement.

Milarky

KTF wrote: »

Well it is a current account rather than a savings account and I don't know of another bank that has increased the interest on a current account as a result of a rate change.

It is a 'membership' account - some of the accounts in the same table - such as the 'BusinessInvester' or 'Treasurer's Trust' are not - yet these and all other Nationwide accounts except the current account have seen an increase.

all savers with variable rate accounts will see an increase in their savings rates

Flexaccount, whilst described as a current account, is in the same table as all the other accounts that is headed:

NATIONWIDE BUILDING SOCIETY SAVINGS RATES effective 1 June 2007

So

1) it's in a table of 'savings rates'
2) it's a membership account (just happens to be a current account)
3) to have an e-savings account (which is counted as a 'savings account') you have to open a FlexAccount first - although you don't require to keep a balance in it.
4) FlexAccount does not pay a 'fixed' rate - so it must be a 'variable rate account'

No rise in NW Flex rates four times running...
Weasel words? Grounds for complaint?

[BTW I did get my bank charges back recently plus £100 for 'switching' to them so this is only a minor niggle I suppose]

[Deleted User]

Very annoyed they only increased the ISA rate by 0.2% there ISA hasnt been competitive for a while.

Im switching to egg ISA!!!!

bristolleedsfan

Yant1 wrote: »

Very annoyed they only increased the ISA rate by 0.2% there ISA hasnt been competitive for a while.

Im switching to egg ISA!!!!

i would imagine when nationwides transfer of engagements re portman is completed nationwide gonna be busy dealing with requests to transfer portman isas elsewhere including mine :rolleyes:

bristolleedsfan

Milarky wrote: »

It is a 'membership' account - some of the accounts in the same table - such as the 'BusinessInvester' or 'Treasurer's Trust' are not - yet these and all other Nationwide accounts except the current account have seen an increase.

Flexaccount, whilst described as a current account, is in the same table as all the other accounts that is headed:

So

1) it's in a table of 'savings rates'
2) it's a membership account (just happens to be a current account)
3) to have an e-savings account (which is counted as a 'savings account') you have to open a FlexAccount first - although you don't require to keep a balance in it.
4) FlexAccount does not pay a 'fixed' rate - so it must be a 'variable rate account'

No rise in NW Flex rates four times running...
Weasel words? Grounds for complaint?

[BTW I did get my bank charges back recently plus £100 for 'switching' to them so this is only a minor niggle I suppose]

transfers from e-saver to flexi account effect same day so keep funds in e-saver and move across to flexi account as and when debits are coming out

ED

To summarise (in case this helps anyone, here) :

Effective 1st June, Nationwide BS makes the following savings account interest rate rises :

0.50% rise to 3.30% - CashBuilder Card accounts
0.45% rise to 6% - Cash Child Trust Fund (incl bonus)
0.30% rise to 5.46% - Monthly Income 60+
0.25% rise to 5.55% - e-Savings
0.25% rise to 6.50% - Regular Savings
0.25% rise to 5.50% - Loyalty Tracker Bond
0.25% rise to 5.70% - Smart (children’s account)

[Deleted User]

I dont understand why there ISA is 5.3 and their esaving is 5.55

Surely people would want it the otherway around as you pay tax on one and not the other. If its simply a cse of the cost of counter service why dont they make a E-ISA.

bristolleedsfan

Yant1 wrote: »

I dont understand why there ISA is 5.3 and their esaving is 5.55

Surely people would want it the otherway around as you pay tax on one and not the other. If its simply a cse of the cost of counter service why dont they make a E-ISA.

i totally agree with u,i was already miffled as to y nationwide dont offer a online isa ( they comparing their branch isa with halifax yet halifax offer a online isa ( not greatest rates but higher than nationwides branch isa)

perhaps nationwide will say that they offer a higher rate on members isa

bristolleedsfan

ED wrote: »

To summarise (in case this helps anyone, here) :

Effective 1st June, Nationwide BS makes the following savings account interest rate rises :

0.50% rise to 3.30% - CashBuilder Card accounts
0.45% rise to 6% - Cash Child Trust Fund (incl bonus)
0.30% rise to 5.46% - Monthly Income 60+
0.25% rise to 5.55% - e-Savings
0.25% rise to 6.50% - Regular Savings
0.25% rise to 5.50% - Loyalty Tracker Bond
0.25% rise to 5.70% - Smart (children’s account)

regular savings should be quoted as "up to" 6.50% as interest rates are tiered and if someone makes a withdrawal fron their actual capital then even if they pay in 250.00 in same month they will receive a lower rate in the month they make a capital withdrawal