Has everyone dropped their savings rates now?

alypen

The last notification I saw of a change of rates was Virgin Money a couple of days ago.  Are there any more providers still to lower their rates, or can we assume that this is it for the time being, and any current rates being advertised are unlikely to drop further?  Having got caught out by one provider dropping their rates a couple of days after I opened a new account with them, I'm a bit cautious.

If you know of a provider which hasn't dropped its rates - or at least announced a drop - please do post it here.  Thanks!

colsten

alypen said:

 can we assume that this is it for the time being, and any current rates being advertised are unlikely to drop further?  

Afraid, you can't assume that. Variable rates can always be dropped (or raised).

RG2015

alypen said:

The last notification I saw of a change of rates was Virgin Money a couple of days ago.  Are there any more providers still to lower their rates, or can we assume that this is it for the time being, and any current rates being advertised are unlikely to drop further?  Having got caught out by one provider dropping their rates a couple of days after I opened a new account with them, I'm a bit cautious.

If you know of a provider which hasn't dropped its rates - or at least announced a drop - please do post it here.  Thanks!

Variable interest rates on several Virgin Money non-ISA savings accounts for existing savers remain unchanged.

I am expecting every provider to continue reducing their rates. I guess to about 0.50% maximum.

NS&I said that they were not implementing their proposed rate cuts to help savers during the coronavirus emergency. That may go on for years but the rates may be held for several months.

alypen

Thank you.  I should perhaps have phrased it differently, e.g.: are there any providers left who haven't yet lowered their rates?  I wasn't necessarily assuming that there wouldn't be any more downward movement in future

I had my eye on a new home for my ISA: just waiting to see how much it drops by.

colsten

Same answer as before: Variable rates can always be dropped (or raised).

Fingerbobs

Family Building Society Online Saver (1) is still paying 1.26% and I've not received anything to say it is dropping imminently. The letter I received from them about rate drops excluded the Online Saver.

Ed-1

Fingerbobs said:

Family Building Society Online Saver (1) is still paying 1.26% and I've not received anything to say it is dropping imminently. The letter I received from them about rate drops excluded the Online Saver.

Which rates are dropping?

roddydogs

When  all the CV stuff dust settles, I wouldn't be surprised to see negative rates.

Mee

roddydogs said:

When  all the CV stuff dust settles, I wouldn't be surprised to see negative rates.

That's scarey. What does this mean in practice?

Zanderman

Mee said:

roddydogs said:

When  all the CV stuff dust settles, I wouldn't be surprised to see negative rates.

That's scarey. What does this mean in practice?

Nobody knows....
But several people are putting views forward, on lots of threads.  
But, scary or not, there's no point in worrying about it. 
It'll either happen or it won't. and if it does it will either be a problem or it won't.  
Threads about it here - take your pick!!
https://forums.moneysavingexpert.com/discussion/6145025/negative-interest-rates/p1
https://forums.moneysavingexpert.com/discussion/6142669/negative-interest-rates/p1
https://forums.moneysavingexpert.com/discussion/6146008/less-than-0-interest/p1
and also, the runner up, here:
https://forums.moneysavingexpert.com/discussion/6146822/negative-interest-rates

alypen

Obviously a second wave of reductions is beginning: have already had notifications from The Coventry and RCI Bank, the latter being particularly painful. I suppose we should be grateful that they didn't pull the rugs out from under our feet immediately, unlike Nationwide.

How many more to follow, I wonder?