RBS Instant Saver

[Deleted User]

Got this email yesterday about my mother's RBS instant saver account:-



"We'd like to let you know about some changes we're making to our savings interest rates. From the 31st October 2016 we're reducing the interest rate on your savings account(s) and you can find full details of these changes here.

This is because savings interest rates in the UK market have been going down for some time now and, on 4th August 2016, the Bank of England reduced the Base Rate, which is one of the factors we consider when setting our savings account interest rates.

What does this mean for you?

The interest rate(s) on your savings account(s) below will change on 31st October 2016:

Instant Saver

We're here to help

If you're comfortable to keep your existing account you don't need to do anything. However, you might like to look at one of our other savings products. If you don't need instant access to your savings you may want to consider our Fixed Term Savings Account or Fixed Rate ISA, where you could earn a better interest rate. To find out more click here or pop into your local branch. Alternatively, you have the option to close your account or move your savings elsewhere at any time, without charge. "

Note that the email doesn't say what the new rate will be. The rates went down as recently as 27 July. The rates are now, from 31 October, 0.01% and 0.05% (for over £50K balance). No wonder they are too embarrassed to put them in the email.

I've moved £10K of my mother's balance to a one year fixed rate bond with Charter Savings Bank at 1.46% pa and another £10K to a two year FRB with Tesco at 1.50%.

jimjames

Do you realise you can get over 4% on £10k using current accounts?

YorkshireBoy

jimjames wrote: »

Do you realise you can get over 4% on £10k using current accounts?

This is mum's money though Jim. Hattie almost certainly has all the accounts you're referring to (previous postings), and mum probably doesn't want loads of current accounts?...and I'm guessing Hattie doesn't want to manage them all for her!

My elderly dad's the same. It took me all my time to persuade him to upgrade from YB Current Account Plus to Direct a few years ago for (then) 4% AER on £3K. I 'administer' his savings and I just pick the best savings accounts for him, rather than setting up another load of current accounts like I have!

[Deleted User]

Exactly, yb. I've got most if not all of them. Mum is 89 and compos mentis but she doesn't do computers (only cheque books and branch counter transactions, not telephone banking even, tho she can draw out cash from ATMs) so admin falls on me, although decisions are hers but it means I need to explain everything. Too much hassle to go down the high interest current account route. We've discussed under the mattress, which RBS only just beats.