Santander (Rory McIlroy) 4% ISA

guitarman001

I got this 2 years ago and it's expiring. Any ideas where to put the money now? I've not used this years allowance at all and don't think I will given the poor rates on ISAs.

Anyway! My MAIN question follows...
In year 2 I got > £200 in interest (4.1% on the balance) but in year 1 I only got £3.70!? How can this be????

PeacefulWaters

guitarman001 wrote: »

I got this 2 years ago and it's expiring. Any ideas where to put the money now? I've not used this years allowance at all and don't think I will given the poor rates on ISAs.

This may help.

http://www.moneysavingexpert.com/savings/best-cash-isa?_ga=1.219020249.1116300417.1393518509

I'd suggest asking Santander to move it to the best paying easy access ISA and waiting until early July when I think higher rates will become available. Then make a move.

Anyway! My MAIN question follows...
In year 2 I got > £200 in interest (4.1% on the balance) but in year 1 I only got £3.70!? How can this be????

What date did you make your initial deposit? What dates have the interest payments been made?

I think you will answer your own question when you check.

guitarman001

I opened it in 2012 and I'm sure it said the interest was annual (4% over 2 years would be a bit lame - hope I never misread that!).
In year 1 I got a total of £3.70 and this year I got something like £225. I sent them a message through their site. I have a sneaking suspicion now that the interest was not annual but I'll be kicking myself if so..

PeacefulWaters

guitarman001 wrote: »

I opened it in 2012 and I'm sure it said the interest was annual (4% over 2 years would be a bit lame - hope I never misread that!).
In year 1 I got a total of £3.70 and this year I got something like £225. I sent them a message through their site. I have a sneaking suspicion now that the interest was not annual but I'll be kicking myself if so..

If you answer the question fully people can probably put your mind at rest.

What date (specifically) did you make your initial deposit? What dates (specifically) have the interest payments been made?

ColdIron

PeacefulWaters wrote: »

and waiting until early July when I think higher rates will become available

I seriously doubt they will

PeacefulWaters

ColdIron wrote: »

I seriously doubt they will

I think they'll get back to March / April levels.

Consumerist

guitarman001 wrote: »

I got this 2 years ago and it's expiring. Any ideas where to put the money now? I've not used this years allowance at all and don't think I will given the poor rates on ISAs.

Anyway! My MAIN question follows...
In year 2 I got > £200 in interest (4.1% on the balance) but in year 1 I only got £3.70!? How can this be????

Santander seems to favour fixed payment dates for interest and it looks as though you may have opened your ISA about a week before an interest-payment date. You'll get the rest of the interest at maturity.

Current accounts paying credit interest are giving the best returns at the moment. Whether you want to withdraw the ISA funds at maturity, to put in a current account, depends on how much you expect to put in an ISA this year in total. From 1 July the ISA allowance increases to £15K so it may be in your interest to withdraw the funds at maturity, get the best rate you can outside an ISA then use the proceeds to subscribe to a new ISA around March 2015 to use the new allowance.

Just a thought.

robatwork

Didn't Santander offer a bonus on their McIlroy "endorsed" accounts if he won a tournament? And he won one yesterday.......

Archi_Bald

It's Majors only - Wentworth isn't one of them. Those on the 4% version of it did get the bonus because he won the 2012 PGA championship.

robatwork

Ah yes that's right - I also think Jenson Button may have been part of that promotion, but he is unlikely to win a go kart race down dunstable downs at the moment.

guitarman001

Consumerist is correct - I wont get the other part of the interest until July... thanks!