Tesco new 1.35% rate (including bonus) Internet saver

AirlieBird

I expect the interest rate shown is what it was at the close of business yesterday and won't be updated until close of business today

ToTo_Man

I see BM are now offering 1.45% easy access. Is this going to be the trend now, each week another bank comes out and grabs the top spot for savings, meaning we are going to be endlessly hopping from one to the next? I wouldn't mind if I was able to access the funds in the Tesco Saver, but as others have reported the funds are inaccessible until the documentation is returned by post (documentation I have yet to receive)...

Bobblehat

ToTo_Man wrote: »

......... I wouldn't mind if I was able to access the funds in the Tesco Saver, but as others have reported the funds are inaccessible until the documentation is returned by post (documentation I have yet to receive)...

I opened the 1.2% Saver beginning of November ..... put over £9K in on day of opening intending to feed other accounts. It took several attempts to try to move some of it out the day after, before I realised they were all doomed to fail. Tesco via phone said ... "Sorry, it takes 48 hours to fully set up the account you should be able to withdraw funds tomorrow"

It all worked OK after the 48 hours were up ...... literally 48 hours, or as near as, given that an attempt to transfer shortly after 9am on the second day after opening also failed, but worked later in the day. :undecided

Documentation turned up days later.

SG27

eskbanker wrote: »

Just out of curiosity, what's behind your aversion to annual interest? If you're talking about funds from a Nationwide current account and regular saver it's presumably 'only' a four-figure sum so I wouldn't have thought that monthly income of roughly 0.1% of that amount (a single-digit sum) would be significant enough to need to have in your hand every month?

Mainly because its more inconvenient. I like to be able to switch about if a better deal comes out and take all my interest with me. Also I like to see the interest adding each month.

eskbanker

SG27 wrote: »

Mainly because its more inconvenient. I like to be able to switch about if a better deal comes out and take all my interest with me.

You do realise that (in the context of accounts like these rather than fixed-term products) if you switch mid-year you still receive pro rata interest up to the date of closure regardless of whether it's (otherwise) scheduled for annual or monthly payment?

SG27 wrote: »

Also I like to see the interest adding each month.

Fair enough, your choice, I was just wondering if there was actually a rational reason! Personally I'd choose a higher-paying annual interest account over a lower-paying monthly one but each to their own....

colsten

SG27 wrote: »

Mainly because its more inconvenient. I like to be able to switch about if a better deal comes out and take all my interest with me. Also I like to see the interest adding each month.

If you close an instant access account, you get all the accrued interest credited on the date of closure.

Unless you need to actually spend the interest each month, there is really no logical argument for settling for a lower AER simply because interest is paid monthly.

18cc

Just had a long chat with Tesco they were busy but very laid back.

The 'old' 1.2% account of yesterday (bonus 0.8%) has had the base rate increased to .55% so a total of 1.35% from today.

New accounts opened from now on will only receive a 0.65% bonus as well as the underlying .55% base so a total of 1.2%

They have, apparently, been inundated with people opening accounts because they publicised the 1.35% rate and have tried to stem the flow from today.

Nick_C

18cc wrote: »

Just had a long chat with Tesco they were busy but very laid back.

The 'old' 1.2% account of yesterday (bonus 0.8%) has had the base rate increased to .55% so a total of 1.35% from today.

New accounts opened from now on will only receive a 0.65% bonus as well as the underlying .55% base so a total of 1.2%

They have, apparently, been inundated with people opening accounts because they publicised the 1.35% rate and have tried to stem the flow from today.

See post #39. And post #41.

You didn't need to phone them!

18cc

I know, but I was lonely and fancied a chat with someone.

Nationwide8

Just for info,my internet saver opened mid Oct was showing still 1.2% about 3 hrs ago.Now showing 1.35%…

*headaches aplenty at Tesco bank today I reckon*