Still no rate rise from Yorkshire?

[Deleted User]

Ian_W wrote: »

Just rec'd email notification from YBS re internet saver which I use to feed the RS:

Website shows rate at 5.7% and all lines to member contact centre are busy - not surprised!! - but I'm presuming it's just a typo in the email.

...unless there is a difference between the e-Saver account and the Internet Saver account.

I had an email today about the latter, which quoted 5.70%.

bristolleedsfan

back to kazza without doing the long quote shall we assume same thing will work with loughborough BS as most of us opened the account towards the end of march 2007, would we then be able to make the first payment of the second year on 1st march 2008?

Kazza242

bristolleedsfan wrote: »

back to kazza without doing the long quote shall we assume same thing will work with loughborough BS as most of us opened the account towards the end of march 2007, would we then be able to make the first payment of the second year on 1st march 2008?

In some ways this regular saver doesn't appear to be as 'clear cut' as YBS'. There is one particular stipulation, which I've highlighted in bold, to pay attention to. Here are the Loughborough Regular Saver Plus T&C's:

• Minimum investment £10 per calendar month.
• Maximum investment £250 per calendar month.
• Total investment per account year is £3,000.
• 11 from 12 monthly payments must be made each year and must reach the Society by the 28th of each month.
• Only one payment can be made each calendar month.
• The amount of the monthly payment can be amended each year on the anniversary of the account open date...
• In the first year a year is defined as a period of 12 months from the account open date and in subsequent years it will be 12 months from the anniversary date.
• If 11 from 12 monthly payments are not made...then the interest payable on the anniversary date will be reduced to 4.00% gross AER.
• Where the terms and conditions have been breached the lower rate of interest paid will be applied to the whole year in which the breach occurred.
• The lower rate is only applied in the year in which a breach occurs.

The "total investment per account year is £3,000" stipulation is the only thing to watch out for. I think most people opened their account(s) in March, as I seem to recall that the account was withdrawn before (or around) the start of April. Therefore, a lot of people will be in the same position. I'm thinking that as "a year is defined as a period of 12 months from the account open date" February 2008 will be the last month in the account year with March 2008 being the beginning of another. The fact that they've referred to the 'month' as a 'calender month' makes me think that making a payment in March* before the account opening anniversary date will be allowed. Though the stipulation in bold above and the definition of a 'year' do confuse things somewhat.

*which must arrive by the 28th.

In the case of this account though, I think confirmation of this from Loughborough BS is important. More so than with YBS, who remember, did not state a total investment per account year like Loughborough have done. The real question is when does the account year end/begin? Regarding e-mailing them, bristolleedsfan, do you want to do the honours this time?

bristolleedsfan

yep nps re me emailing them its actually quite important to me with having been funding 3 accounts all with 250 a month max it would suit me to fund all 3 with 250 each early march 2008 and then drop all 3 reg savers to 10.00 a month on the anniversary as biggest gain on the product is when people have had the max payments in it for a year, hence reason y imho reg savers that dont last more than 12 months are not very productive

this is what im planning to ask any additions/amendments lmk

my 3 regular saver accounts were opened on 20th/27th/28th March, 12 months payments will have been completed in february 2008

appreciating the rules
"Total investment per account year is £3,000".

11 from 12 monthly payments must be made each year and must reach the Society by the 28th of each month( significance of point being "by the 28th of each month"

is it possible to make the march 2008 payment on or after 1st march 2008

and appreciating this rule "The amount of the monthly payment can be amended each year on the anniversary of the account open date"

if march 2008 payment can be made on or after 1st march 2008 would it be possible for that payment to be 250.00 and for me then to change my monthly payments "on the anniversary of the account open date" which in my case would be 20th/27th/28th march to take effect from the april 2008 payment onwards.

if march 2008 payment cant be made until the anniversary of the account how would someone whos account was opened on 29th/30th March 2007 be able to get the payment for 29th/30th March 2008 to you by 28th of the month ?

Kazza242

bristolleedsfan wrote: »

yep nps re me emailing them ... biggest gain on the product is when people have had the max payments in it for a year, hence reason y imho reg savers that dont last more than 12 months are not very productive

Excellent. Kind of agree that 1 year regular savers (paying rates lower than 8%) are not currently very productive, especially now that so many easy access e-savers are paying around 6% or above. I'm a lot more choosy about which regular savers I go for now compared to say when BOE base rate was lower.

bristolleedsfan wrote: »

this is what im planning to ask any additions/amendments lmk

my 3 regular saver accounts were opened on 20th/27th/28th March, 12 months payments will have been completed in february 2008

appreciating the rules
"Total investment per account year is £3,000".

11 from 12 monthly payments must be made each year and must reach the Society by the 28th of each month( significance of point being "by the 28th of each month"

is it possible to make the march 2008 payment on or after 1st march 2008

and appreciating this rule "The amount of the monthly payment can be amended each year on the anniversary of the account open date"

if march 2008 payment can be made on or after 1st march 2008 would it be possible for that payment to be 250.00 and for me then to change my monthly payments "on the anniversary of the account open date" which in my case would be 20th/27th/28th march to take effect from the april 2008 payment onwards.

if march 2008 payment cant be made until the anniversary of the account how would someone whos account was opened on 29th/30th March 2007 be able to get the payment for 29th/30th March 2008 to you by 28th of the month ?

I would like to add that, it is important to ask if making a payment on or after March 1st will still allow you to qualify for interest at the bonus rate or will it result in the lower rate of interest (at 4.00% gross) being paid for the whole account year? This is really important, as a payment is allowed each calendar month, but what are the consequences, if any, of making a "13th" payment before the account opening anniversary? Bearing in mind the £3,000 total investment amount per account year.

Also, when does the new "account year" officially begin? This is important for payment, withdrawal and closure purposes.

bristolleedsfan

Morning

Thank you for your email regarding your three Regular Saver Accounts.

I can confirm that your March payment can be made on or after the 1st of the Month. The new account year will start from the day after the account interest was paid. In your case this will be the 21st/28th and 29th of the month. The interest will be paid to your accounts overnight on the account anniversary date which is the account opening date.

For those people that make payments towards the end of the month it will seem as though they are making 13 payments during the 1st year. I can confirm however, that you will still be eligible for the 8% and your rate will not be decreased to 4%.

In order to amend your monthly payment you will need to inform us in writing before your April payment is made so that we are expecting the new amount and you will also need to inform your bank so that they can amend your standing order.

I hope that the above clarifies your questions.

If you require any additional information please do not hesitate to contact me.

exel1966

Another day passes and yet again no reaction from YBS to last weeks BOE rate increase.
YBS were for a very long time one of the most competitive finacial houses out there, but now they are starting to fall behind. Have things changed at the top recently or were they selling loss-leaders before and now the time has come to recoup.

Milarky

exel1966 wrote: »

Another day passes and yet again no reaction from YBS to last weeks BOE rate increase.
YBS were for a very long time one of the most competitive finacial houses out there, but now they are starting to fall behind. Have things changed at the top recently or were they selling loss-leaders before and now the time has come to recoup.

If you are referring to the popular YBS Regular Saver account, which was unchanged the last time the Bank of England rate changed, then an increase (can't say how much) is predictable this time. That's because it is the type of account covered by Section 4.8 of the The Banking Code that requires them to write to all customers offering instant access without penalty where the rate lags changes in the the BOE rate by 0.5% or more - but 0.50% will trigger this - during a 12 month rolling period.

In other words, if they don't put rates up at all for a second period they will have to write to Regular Saver account holders...

bristolleedsfan

exel1966 wrote: »

Another day passes and yet again no reaction from YBS to last weeks BOE rate increase.
YBS were for a very long time one of the most competitive finacial houses out there, but now they are starting to fall behind. Have things changed at the top recently or were they selling loss-leaders before and now the time has come to recoup.

#

this thread was actually relating to previous base rate increase, being as most building societies wont be actually increasing rates till 1st august, really no big deal when announcements are made as they dont take effect immediately. yorkshire R/S was apparent loss leader, lots of people have effectively lump sums in the account which will be costing yorkshire a fair bit esp when interest starts being paid out.( towards end of august for some, during september for many more)

dont be suprised if yorkshire R/S is only increased by 0.15%, will keep it top of best buy tables for all types of cash savings accounts so why would they need to increase it by more.

exel1966

I realise this thread was aimed at the previous rate rise, but it has also become relevant once again.

I was referring to their accounts generally, in particular the Mini Cash ISA as this is now lagging a long way behind other accounts, where not so long ago it was very competitive. TBH I don't really expect the RS to increase very much because, as you say, it is still a 'Best Buy' as far as RS's go.