Absolutely disgusted with interest rates - is this right?

Widelats

For a Nat West saver account, i planned to put in £100 as a initial deposit - until i read their interest payable to that account would be 50p per year - !!!!!!, did i read it properly? Was it a typo i read?

Or is this a correct rate?

If this is correct, theres not a chance in hell i am giving them £100 for 50p at next xmas, especially when they would charge me a whole lot more if i borrowed £100 off them for a year.

What is correct here, the account i applied for is called Instant Saver with i think a AER of 0.5% lol.

Hazzanet

£100 x 0.5% = £0.50.

Hazzanet

You'll lose £0.10 of that if you're a basic rate tax payer.

Widelats

LOOOOOOOOLLLLL OK thanks guys, they can shove their savings account i don't want it.

Scrootum

Widelats wrote: »

LOOOOOOOOLLLLL OK thanks guys, they can shove their savings account i don't want it.

I would blame the BoE, they set the bank rate.

Scrootum

Hazzanet wrote: »

You'll lose £0.10 of that if you're a basic rate tax payer.

And around 3 quid due to inflation.

JustAnotherSaver

Interest rates are poor, it's been in the news for some time so it's no surprise. You don't have to put your money with anyone, so just select the best for your requirements.

YorkshireBoy

Widelats wrote: »

they can shove their savings account i don't want it.

What's your alternative then?...you may get £1.50 gross elsewhere if you're lucky...or maybe you intend to spend your money instead of saving?


Or perhaps leave it where it is?...how much does your current account (presumably also with NatWest?) pay?...because I suspect there will be more zero's in that rate (after tax).

grumbler

To be fair to Natwest, I don't think that any bank is paying more than 0.5% on pure instant access saving accounts. E.g. it's 0.45% at Nationwide.

eskbanker

OP - you'd be best to familiarise yourself with the state of the market before applying for low-interest accounts and then complaining about being 'absolutely disgusted'! Take a look at the main MSE piece on savings accounts and read some of the posts about savings at the Savings and Investments forum

Archi_Bald

grumbler wrote: »

I don't think that any bank is paying more than 0.5% on pure instant access saving accounts. E.g. it's 0.45% at Nationwide.

Sainsburys Bank offers more than 0.5% on instant access. http://www.sainsburysbank.co.uk/savings/support/support_extrasaver.shtml

There are others with similar rates.