The Top Easy Access Savings Discussion Area

Gambit

ADoc wrote: »

I've just stashed some case at between 5% and 6% FIXED

I never knew that you could get a fixed rate on an instant access account... who's that with then?

LOOsenD

The "fixed rate on an instant access account" is part of the ICICI HiSAVE Fixed Rate Account policy (with Early Access Facility).

Here : http://www.icicibank.co.uk/hisave_fixedrate.html

What they don't tell you on the web page is that, having made a withdrawl on the fixed rate account, your the account's interest rate drops considerably in the final calculation of the terms interest. Sneaky !

Mr._H_2

Gambit wrote: »

I never knew that you could get a fixed rate on an instant access account.

It happens sometimes. See the previous page of this thread for discussion of Egg's offer (sadly over now), where for a while they had an instant access, no strings account paying 6.3% fixed for a year.

Gambit

Hmm... to me that ICIC account is more like the Fixed Rate Term Accounts such as the ones Halifax have.

Doh... pity I missed that Egg offer - must have missed that one!

ADoc

Not with ICICI, the account is Bank of Scotland
Now closed, I'm afraid
http://www.bankofscotlandhalifax.co.uk/savings/BOSinstantaccesssavingsaccountreward.asp

luv_my_brass

Have just been informed by Coventry BS that as my first year is up on the 6% introductory rate, it is now going to be 4.50%. There's going to be much shifting around of our savings, but finding one that isn't going to suddenly drop.......... :-(
I managed to get the Tesco one at 6.0% for one year, and when I got my money back from Icesave, chucked it in there just before the 30th Nov. cut off date. The total is still under the 'safety level', but still don't like having too many eggs in one basket - so looking for another decent rate.......

ebyard

I have to say the Investec accounts are looking the best at the moment, paying the average of the top 5 accouts (including over 60s accounts which are high payers) so I am going to stash my cash there for now.

wilh

Any one with experience of this investec account 6.16% (£25000 deposit min) but with a really stinging 3 month withdrawal notice? Say if the rate drops and you want out - you have to wait 3 months or face a penalty fee of .5% at their discretion! Does anyone know their fisk rating or their cds value? They have a £50,000 FSA regulation but how safe are they? (Maybe there is no answer to that). I would like to use them but is a good/high interest rate dangerous under the present circumstances? mmmh!

ADoc

In theory, up to £50k you're at risk to the UK government.

What's the real risk?

There is no EASY answer, but check out the Investec credit ratings in the links below. Not the best ratings, it would appear.

http://www.investec.com/GroupLinks/InvestorRelations/CreditRatings

While you're at it, check out the UK government's falling creditworthiness. CDS is up about 1% pa I believe.

Will the UK government renege on its promise? Unlikely, but not unthinkable. I was in Croatia when the government did a forced conversion of deposits into 5 year bonds. Ugly.

I'm not saying it WILL happen. But is it not unthinkable.

Put it this way, how will the FSCS pay if banks start popping one-by-one, first Bank A, then Bank B, than Bank C....

One question though to rate tarts: does the extra interest merit the extra risk or uncertainty?

Joe65_2

dungeness wrote: »

I seem to remember reading some time ago (before the credit crunch) that it was not worth changing savings accounts for less than .5% because of the time it takes transferrring from one account into your bank & then back out again, ...................................... ......................................................Do others think the .5% difference in interest rate idea a good one or should it even be 1%?

Sure , when the rate was 5 % , then for Every Day of lost interest you'd take ~10 days to make it up at 0.5% better . As you'd be doing very well to lose no more than 3 - 5 days of interest that would be at least 30-50 days, before you start earning anything extra at all.

Now that rates are a lot lower though, you've correspondingly less interest to lose by switching. So do it now, but try not to do it more than once.