TSB Current account change of interest rate?!

Jackthedog

Just filled in a questionnaire for TSB customer services. Reading through the options it seems likely that the interest bearing current accounts will fall to 3 % on £1500 saved. They did question on other rates 4% on £1000 and similar but they all came to the same timing ...

I suggested that my account with them would be closed on implementation of any of these options... but it does seem that The Santander reduction is starting to make the dominos wobble.

chockydavid1983

Boo, not a big surprise though :-/

xylophone

I wonder how they are selecting people for the survey - I've not been approached and feel slighted!:D

Why am I not among the called and the chosen? Despised and rejected...:eek:

Elijah_Bailey

Santander was the main tent pole supporting the high interest current account bubble for four years. Halifax and Lloyds are also having "internal reviews" about their current accounts so it looks like this bubble is about to pop. These accounts are customer grabbing promotions and so they were never going to last too long.

bigadaj

Jackthedog wrote: »

Just filled in a questionnaire for TSB customer services. Reading through the options it seems likely that the interest bearing current accounts will fall to 3 % on £1500 saved. They did question on other rates 4% on £1000 and similar but they all came to the same timing ...

I suggested that my account with them would be closed on implementation of any of these options... but it does seem that The Santander reduction is starting to make the dominos wobble.

I did the same with my responses.

However they seem to be varying the default option on each survey for different customers, presumably trying to find a sweet spot in terms of losing fewest customers.

4% on £1000 was my initial default, they also repeat the questions after giving your "preferences" and seem very concerned with their image and pr.

bigadaj

Elijah_Bailey wrote: »

Santander was the main tent pole supporting the high interest current account bubble for four years. Halifax and Lloyds are also having "internal reviews" about their current accounts so it looks like this bubble is about to pop. These accounts are customer grabbing promotions and so they were never going to last too long.

Interestingly I'd expect most if the banks to have better switching bonuses and lower interest on current accounts.

This would give them a better image, and potentially a competitive advantage, as well as addressing the political problem and press issues with everyone hating the banks and showing that people are actually shopping around.

markwilkinson

Just this minute completed my survey. Will be interesting to see what happens in terms of the final decision over rates and maximum amounts.

Gurberly

Well I guess I am going to have to keep my current accounts open a bit longer as my partner and I just opened a couple of regular savers before they recently dropped the rate.

teddysmum

At least TSB have the 5% saving on contactless purchases and the fixed rate regular saver (ours fixed at 5%) to make the accounts worth leaving open, but if they drop the rate and sum it's paid on, then our accounts' contents will drop accordingly.

foreversummer

I'm just opening as many fixed rate regular savers as I can. I've opened two with HSBC (one for me and on for OH) at 6%, also the Nationwide Flex Direct Current Account and Regular Savers are fixed for one year at 5% so I've opened two Flex Direct accounts and two regular savers there.

I've two TSB current accounts paying 5% (variable) but I'm not bothering with the TSB regular saver at present as it has dropped to 2%, our 5% ones just matured.

My lloyds is maxed out at £5000 paying 4% but they are reviewing this rate so I can put that gradually into our regular savers if necessary. Tempted to open the Lloyds regular saver which is fixed at 3% just in case TSB cut rates. I expect 3% might look good going forward.

I'm expect the rates on all the above will come down in due course, but make hay whilst the sun shines.

Foreversummer

YorkshireBoy

foreversummer wrote: »

...the Nationwide...Regular Savers are fixed for one year at 5%

Really? Mine is variable, as per their website and account T&Cs. Are you a special case?