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Post Office New Bond and ISA Rates

The Post Office has launched new fixed rate bonds and fixed rate ISAs. The 1 year bond and ISA are both paying 1.80% gross/AER, the 2 year bond and ISA are paying 2.25% gross/AER and the 3 year bond and ISA are paying 2.35% gross/AER.
"Look after your pennies and your pounds will look after themselves"

Comments

  • Colin297
    Colin297 Posts: 111 Forumite
    Depressing rates

    I believe banks are going to try milk the transition period where the market is improving while still having low interest rates for savers tied up or a year or two, whilst getting higher interest rates for loans and mortgages.
  • alanfp
    alanfp Posts: 180 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Depressing rates? Certainly, but it's currently almost the highest rate available for a 2yr bond (only two higher rates on moneysupermarket comparison site) ... and I think it's higher than what I could get a few weeks ago, but don't quote me on that.

    BTW, "higher rates for mortgages" - is 1.99% (1.49% + base) a high rate?

    I'm not trying to defend the banks at all, but let's not ignore a product which, in the current market place is one of the best.

    My only query is that the leaflet I picked up at the PO today stated Issue 20, yet the website states issue 21. Though the rates appear to be the same. Maybe just a typo.
  • They ARE depressing rates, whichever way you look at it.

    In 2011, I had a 3 year fix at 4.25%, and as recently as 2012-13 a 3.5% rate for a year.

    They were grim enough, but who could have foreseen that they would become rates we could only dream of?! :(
    “In any moment of decision the best thing you can do is the right thing, the next best thing is the wrong thing, and the worst thing you can do is nothing at all.” - Roosevelt
  • neil324
    neil324 Posts: 460 Forumite
    Shockingly depressing. Not only ISA's but savings accounts also. Then the 'bail in' news is getting more vocal by the week, makes you think what's the point in banks.

    Pay savers nothing, push debt down consumers, when it falls apart, haircut the savers.

    Fook me.
  • Freecall
    Freecall Posts: 1,337 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    In the spirit of ‘I remember the good old days when you could get drunk for less than a pound’

    2009
    Halifax 1 year fixed 6.6%
    Bradford & Bingley 2 year fixed 7.3%
    Nationwide e-bond 1 year fixed 7.1%

    Happy days!
  • Archi_Bald
    Archi_Bald Posts: 9,681 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    How much did you / people pay for their mortgages and loans back then?
  • Freecall
    Freecall Posts: 1,337 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Archi_Bald wrote: »
    How much did you / people pay for their mortgages and loans back then?

    Thanks for nothing Archi, you've just broken my rose-tinted spectacles!
    ;)

    Still happy days though.
This discussion has been closed.
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