Nationwide Flex Direct

typistretired

http://www.telegraph.co.uk/finance/personalfinance/savings/10440407/Savings-tricks-I-opened-four-current-accounts-for-5pc-rate.html

I wonder if this gentleman has anything to do with the clamp down from Nationwide!

typistretired

phred wrote: »

Mine arrived today.
I suppose I'll have to go in to my local branch on 14th January and close the three accounts no longer paying 5%.

If everyone closes their accounts only paying 1% Graham Beale of Nationwide wont be a happy man.

See the following copied from his quotes in the MarketingWeek on 15 November 2013.

Nationwide chief executive Graham Beale told Reuters the number of customers switching their accounts to it had risen 47 per cent in the weeks since the service was introduced on 16 September.

Nationwide says it opened 214,000 new current accounts in the six months to 30 September, up 16 per cent on the same period last year, pushing its share of the market up 0.8 per cent to 6 per cent. Fifty-four thousand customers switched decided to switch their primary banking products to Nationwide in the period, it adds.

adindas

typistretired wrote: »

If everyone closes their accounts only paying 1% Graham Beale of Nationwide wont be a happy man.

See the following copied from his quotes in the MarketingWeek on 15 November 2013.

Nationwide chief executive Graham Beale told Reuters the number of customers switching their accounts to it had risen 47 per cent in the weeks since the service was introduced on 16 September.

Nationwide says it opened 214,000 new current accounts in the six months to 30 September, up 16 per cent on the same period last year, pushing its share of the market up 0.8 per cent to 6 per cent. Fifty-four thousand customers switched decided to switch their primary banking products to Nationwide in the period, it adds.

Enjoy while it lasts. In my case it is still two months to go ...
If you have a 0% overdraft facility and have an account with reasonably high interest rate where you could put this free overdraft, do not be too hasty to close your account.

As also already pointed out by YorkshireBoy in post #6 you could still take advantage of this free OD facility.

Providing there's no wording/letter about O/D facilities in the letter you could simply take out the money from your OD facility and put it into for instance Santander 123, Loyds Vantage, TSB Enhance. You will earn 3% interest for the money you do not own. Put it back when the free O/D facility period end.

Same as paying interest of 5%, in T&C free OD will only apply to one account. So there is not any guarantee that you will not be hit by charges, interest rate, so do it with your own risk. But it is worthy to take a risk considering that it is common practice that NW will inform you before start charging you.

But I myself will be considering seriously to take that risk as I have two AC with OD facilities.

innovate

typistretired wrote: »

http://www.telegraph.co.uk/finance/personalfinance/savings/10440407/Savings-tricks-I-opened-four-current-accounts-for-5pc-rate.html

I wonder if this gentleman has anything to do with the clamp down from Nationwide!

Not any more than the countless MSEers posting about their success in bending the rules.

typistretired

Not received my letter yet but already reconciled. We all knew this would happen eventually. I ticked all my applications with no overdraft wanted.

rb10

typistretired wrote: »

http://www.telegraph.co.uk/finance/personalfinance/savings/10440407/Savings-tricks-I-opened-four-current-accounts-for-5pc-rate.html

I wonder if this gentleman has anything to do with the clamp down from Nationwide!

That article was published on 11 November.

This thread was started on 9 November - so Nationwide had already started sending letters out when that article was published.

Jevvers

I got my letter today and I think fair do's. Which acc are people moving to? I was going to transfer it to my Santander 123 but happy to put it somewhere else if there's a better rate to be had (fat chance!)
Have already got a FD regular saver and maxed the ISA.

savetilibleed

Just had my letter today to say the second account will only get 1% . Not sure what to do now. Have all the current accounts I can (Lloyds, BoS, Santander (only one presently) and all fully funded. Not Yorkshire/Clydesdale bank though - not keen about telephone opening and no branches near. Can't get TSB.

Archi_Bald

savetilibleed wrote: »

Can't get TSB.

mind me asking why not?

typistretired

rb10 wrote: »

That article was published on 11 November.

This thread was started on 9 November - so Nationwide had already started sending letters out when that article was published.

Yes, but he had already appeared on BBC's Money Box radio programme to explain how he had set up four Nationwide FlexDirect current accounts. He had also complained to Nationwide before this date that he could not open six accounts.