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Nationwide Flexdirect - no interest paid

Hi all,
A year ago my DH and I opened a FlexDirect account each to take advantage of the 5% interest for 12 months. With a little juggling we had £1000 going between the accounts - from DH's "other bank" account to his Nationwide account, and from his Nationwide account to mine, then back to the "other bank" account.

Everything seemed fine in January when we automated the SOs and he checked his Flexdirect account intermittently to make sure it looked like it was working. We assumed the same for mine.

We have gone to withdraw all the money today to find that my account has not received any interest since January. I phoned them to enquire why not, and was told that it was because the £1000 regular payment was a transfer between two Nationwide accounts and didn't count.

We had not seen anything that said internal transfers wouldn't work at the time that we opened the accounts, although we have seen that's what it says now, so we guess that the T&Cs were changed some time after we opened the accounts.

Has anyone else had this experience?

Words of warning: check your accounts monthly to make sure you're getting the interest you expect!
"...And if it don't feel good, what are you doing it for?" - Robbie Williams - 'Candy'

Comments

  • grumbler
    grumbler Posts: 58,629 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Alexelisey wrote: »
    We had not seen anything that said internal transfers wouldn't work at the time that we opened the accounts, although we have seen that's what it says now, so we guess that the T&Cs were changed some time after we opened the accounts.
    ...
    Next time check the important bits more thoroughly:
    Gromitt wrote: »
    It clearly states on the website:

    "Any external payment into your FlexDirect account will count towards the monthly £1,000 total requirement, in other words a payment which does not come from another Nationwide account."

    Can't say clearer than that!
    Posted 01-03-2013
  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Alexelisey wrote: »
    Words of warning: check your accounts monthly to make sure you're getting the interest you expect!
    That's all well and good for accounts that pay interest monthly. Actually it isn't, because even then you'd lose a months interest!

    Far better "words of warning" would be to read and understand the T&Cs relating to the product you're applying for.

    Here's the press release for the changes to FlexDirect (including the 5% AER interest rate), dated 1st March 2013...

    http://www.nationwide.co.uk/about/media-centre-and-specialist-areas/media-centre/press-releases/archive/2013/3/nationwide-increases-flexdirect-interest-rate-to-marketleading-5
  • RMcoiner
    RMcoiner Posts: 10 Forumite
    Internal transfers between Nationwide Accounts never count as income, as you could simply transfer £1000 from you Nationwide Savings to your Nationwide Flex Account, which is not new money. It is quite clear that the funds need to be paid in from an External Bank/Building Society Account. Sorry I have posted a thread where I am also have an issue with them but for a differently matter entirely and have decided to move.
  • polymaff
    polymaff Posts: 3,958 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Two lessons learned:

    1. Study the T&Cs.

    2. Keep a watch on the accounts.

    Put it down to experience. We've all been burned at some time,
  • le_loup
    le_loup Posts: 4,047 Forumite
    Alexelisey wrote: »
    so we guess that the T&Cs were changed some time after we opened the accounts.
    Good guess - but completely wrong.
  • chanz4
    chanz4 Posts: 11,057 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Xmas Saver!
    cant remember where, but 100% said cant do internal transfers
    Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.
  • Archi_Bald
    Archi_Bald Posts: 9,681 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    chanz4 wrote: »
    cant remember where, but 100% said cant do internal transfers
    E.g. in the link YB posted in post #3?
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