Nottingham 4% Regular saver Isa 2014/15

veryintrigued

will-he-payitoff wrote: »

Could anyone please tell me If I opened one of these by visiting my nearest branch, is it possible to make payments into it by online banking or would I have to visit the branch 20 miles away?
Also do I need an account at NBS to qualify?

Branch visit and then S.O after.

You dont need to be an existing customer - but as a new customer you will probably have to set up a meeting to discuss your full savings / investment situation.

Note that NBS certainly used to have a postcode restriction on accounts too. Although lately I havent spotted it on new accounts.

frank777

Better get your skates on - :eek:my earliest appointment is next Friday

escapee

Can I ask......

If there was an option to invest the full £15k allowance (from July at least) the annual interest would be £600 at 4%.

As you can only invest in this ISA in increments of £1250 per month, would the annual interest still achieve the same as above or would this be less given that it would take the whole 12 months to invest the maximum £15k?

Thanks in advance

matttye

escapee wrote: »

Can I ask......

If there was an option to invest the full £15k allowance (from July at least) the annual interest would be £600 at 4%.

As you can only invest in this ISA in stages of £1250 per month, would the annual interest still achieve the same as above or would this be less given that it would take the whole 12 months to invest the maximum £15k?

Thanks in advance

Significantly less.

£4.17 month 1
£8.34 month 2
£12.51 month 3
£16.68 month 4
etc...

My simple spreadsheet says:

1 4.17
2 8.34
3 12.51
4 16.68
5 20.85
6 25.02
7 29.19
8 33.36
9 37.53
10 41.7
11 45.87
12 50.04
325.26

escapee

Thanks matttye - I assumed that to be the case but didn't know the formula to calculate monthly interest rates. Therefore this interest rate is effectively closer to 2.17% over the course of the year rather than 4%.

matttye

escapee wrote: »

Thanks matttye - I assumed that to be the case but didn't know the formula to calculate monthly interest rates. Therefore this interest rate is effectively closer to 2.17% over the course of the year rather than 4%.

For future reference it's:

Amount * interest-rate-expressed-as-decimal / 12

E.g: 1250*0.04/12 in this case.

A lot of people who use regular savers drip feed from one account to another. So you could be earning interest on the entire balance in, say, a Santander 123 account but transfer 1250 monthly into the Nottingham ISA.

escapee

Thanks again matttye for your assistance.

I just want to get my money out of this woeful Natwest 1% cash ISA - this option with Nottingham BS would still more than double the current annual return!

will-he-payitoff

Anyone know what the interest rate would work out if you deposited £1250 pm for the first 4 months?

innovate

Used this calc to work it out http://www.moneysavingexpert.com/savings/best-regular-savings-accounts#calculator

MRMX9

The problem with fixed term/12 months is that the deal ends then.

So you never get 4% on your cash - apart from on your first instalment.

If it was a regular saver for longer than one year it might be worth it.

Still non ISA regular savers generally are good - I still have several I opened years ago paying 3% plus (incl one paying 3.6%) which all allow one free withdrawal a year. You would have to leave your funds in for 5 years to get that rate on any other account.