Nationwide Interest Rates

cassie75

Just got an email from Nationwide to say they are putting up savings interest rates. :T

They start by saying the Bank of England have put up the rate from 0.5 to% 0.75%.

That's up 0.25% :j

Then they go on to trumpet the fact their savings rate is going up from 0.5% to 0.6%.

Is anyone else annoyed that banks are not passing on the rate rise?

Zanderman

Banks (Nationwide isn't one of course!) don't have to follow BoE rates - and indeed Nationwide offer rates far above BoE rates for some of their accounts, so they obviously don't follow BoE anyway. For some accounts they exceed it and have done for many years. I get 5% on my NWide FlexDirect and 5% on my NWide Regular Saver.

michaels

No increase at all for the kids saver.

So far in general the base rate rise seems to have been taken by the banks as an opportunity to increase their margins and I can't see this changing much in the likely range of base rates (say up to 2%) that we will see for the next few years

Thrugelmir

cassie75 wrote: »

Is anyone else annoyed that banks are not passing on the rate rise?

What connection does BOE base rate have with deposit savings rates?

Zero_Sum

My ISA has just gone up from 0.9% to 0.95%
Whooping effing do. Im still going to be shifting a fair chunk of it once Tesco hurry up sending out my debit card so i can properly open my 2nd account with them.

And no increase for my single access ISA. Gonna move some of that out into fixed rate bonds anarl

isasmurf

Discussed here: https://forums.moneysavingexpert.com/discussion/5878602/nationwide-after-boe-interest-rate-rise

libra10

Is anyone else annoyed that banks are not passing on the rate rise?

cassie75

I also received Nationwide's email, and agree with your comments.

Although Nationwide have slightlyincreased rates on our Loyalty Saver and Cash ISA, their fixed-rate ISA's fail to be competitive.

As these accounts have matured, we have moved money to other banks and building societies who are giving more interest.

d63

libra10 wrote: »

cassie75

I also received Nationwide's email, and agree with your comments.

Although Nationwide have slightlyincreased rates on our Loyalty Saver and Cash ISA, their fixed-rate ISA's fail to be competitive.

As these accounts have matured, we have moved money to other banks and building societies who are giving more interest.

well, that first bit at least sounds encouraging. i too have their loyalty saver account (15yrs+ now)

erm, anyone heard anything about their InvestDirect account?

sadly that seems to have got stuck on 0.1% AER for, well, several years now.

maybe i should perhaps close it and move on too.
it is very disheartening.

ColdIron

The InvestDirect account doesn't accept new applications. This is a deadended product that won't improve, ditch it

le_loup

ColdIron wrote: »

This is a deadended product

Reminds me of The Highly Esteemed Goon Show : "Argh. You dirty rotten swines you! You have deaded me".

I appreciate most of you will not have a clue what I am talking about.

d63

ColdIron wrote: »

The InvestDirect account doesn't accept new applications. This is a deadended product that won't improve, ditch it

yes, you're right, but, well, was rummaging through a pile of old papers as you do, and found i opened this account back in 1996 when rates were tiered and paid gross and returned 3.76% net p.a. for a minimum opening deposit of £2000.
was that a good rate in them days? ah well, no matter. even if the rate did make a recover from its current 0.1%, sadly that £2000 seems to be long gone. pity.