Regular Savings Accounts: The Best Currently Available List!

Special_Saver2

Thanks for the feedback, you are quite right. For the West Bromwich Magic 8, I have shortened the first sentence to "The interest rate will track any changes in the Bank of England base rate" which is quite clear. (As you say, I had copied the wording from moneysupermarket and I agree it was slightly confusing but now I think my version makes sense.) For the N&P and Chorley accounts, you are quite right, I have corrected the entries, thanks for pointing them out.

knights

SS2 - Just read the Magic 8 entry - not sure if 'Interest will be paid annually on 1st April' is correct is it?

I understood that all interest is paid on the anniversary.

This will be (BOE base rate less 0.25%), applied as it may have varied though the 12 months.

Also the 2.60% conditional bonus will be paid on the total of your 12 contributions (less up to 2 withdrawals).

Special_Saver2

I do not have one of these accounts. Perhaps somebody who does could have a look at the terms and conditions leaflet they received when they opened the account and post something here?

I have copied and pasted the terms and conditions that were stated on the moneysupermarket entry.

My interpretation is that the "basic" interest (currently 5.25% gross p.a.) will be paid on 1st April every year and the conditional bonus of 2.60% will be paid on the anniversary of account opening.

Milarky

[From terms and conditions]

[Magic 8]
"6 Monthly interest payments available. If this option is selected, the monthly interest payment will not include the conditional bonus. This will be paid on the first anniversary of account opening"

[Base rate tracker]
"4 Interest rates are variable and paid annually on 30 November, unless the monthly interest option is taken"

I'd say therefore the Bonus will always fall outside the normal interest payment dates - which are end-of-month and, if annually, 30 November.

Special_Saver2

I have amended the entry on the Magic 8 account to include the above information. Reading the amended entry, it is a little confusing - do you think moneysupermarket are wrong and that no interest is paid on 1st April (paid on 30th November instead)?

I have updated the first few posts in this thread with more updated interest rates as follows:
1. Yorkshire BS First Time Buyer, Yorkshire BS Regular Saver, Loughborough, Nationwide and both Monmouthshire accounts down by 0.25%
2. Scarborough BS My Savings account down by 0.3% (now 6.50%, was 6.8%)

interest_Ted

Yes !

(I think that Moneysupermarket is wrong)

My file notes state 01 April, but am now pretty sure that I got that from moneysupermarket in absence of details from WBBS.

I tend to agree with Knights that anniversary makes sense, but as there is no concrete evidence in their rules, I will ask a friend to pop in and ask for the info. I will update here when I get it, unless anyone else gets firm details any quicker.

Ted

knights

I think it is all sorted on the account anniversary as my post.

The 'Base rate Tracker Account' is where the Magic 8 funds are transferred to after the 12 months, it is a low interest account and once the Magic 8 funds are cleared into it probably would be advisable to move them to a better place.

Be pleased to hear of your friends findings interest Ted.

Nick_C

I think that Yorkshire's "Internet Saver" Account may be worth a recommendation now as a feeder account. They only dropped the rate by 0.2%, so it now matches Sainsbury's at 6% gross. Where it beats Sainsbury's is that you can get a cash card, giving true instant access, and you can opt for monthly interest at 5.84% (6% AER) (although monthly interest has to go to an external account).

Its a particularly good feeder account for the YBS Regular Saver account, as you can get your money into the RS account on the 1st of the month, and maximise the higher rate of interest.

The cash card also allows you to transfer cash same day from the YBS Internet Saver to a Nationwide RS using the new in store ATMs at Nationwide. If you pay in cash at one of the new in store ATMs, it is credited to the account instantly and you get interest from the next day. (These machines take the cash loose - without an envelope - and count it as you deposit it).

interest_Ted

Re the Magic 8 interest

It is, curiously, just as Moneysupermarket say (sorry I retract my earlier assumption about them being wrong !).
Interest is added in April. Then the bonus only is added at the anniversary. The interest for the period between April and the anniversary, is included in the interest added to the account at the next interest date.

As the account will have then reverted to the base rate tracker, the next date for interest being added would be the next Dec 1st. Or, of course when the account is closed if this is earler.

My friend forgot to ask if the Magis 8 is still available to be opened by investors. But as Moneysupermarket still show it as available, I guess that it is.

Ted

knights

Hi interest Ted,

This seems to be getting complicated for something which I think is quite simple.

I have just spoken to West Brom, I will qoute you my own case:-

Account opened 29th November 2008 with £ 1000.00, will put in on or around the 1st of each month thereafter £ 1000.00, December to October inclusive. Will then have a total of £12,000 saved.

Account matures 29th November 2008. West Brom will then add 2.6% bonus. They will also add an amount equal to the BoE base rate less 0.25% calculated daily from day one until the anniversary date. The whole lot will then be transfered into their 'Base Rate Tracker' account.

Assuming there are better interest rates elsewhere I will move it straight away into something better.

regards

They will not actually add interest on the account in April 08 otherwise daily interest after that date would be compounded on and that will not happen.

regards