RCI Bank

Chrispage

Over a month ago, we made an application to open a savings account with RCI Bank (when they were still offering 1.2% interest. Apart from receiving a letter from them, dated 19th May, returning some documentation they had requested from my wife and telling us that we would be hearing from them soon once our account had been opened, we have heard nothing since despite my sending an e-mail or two asking what was happening. Does the bank still exist and has anyone been able to save money with them?

Archi_Bald

They do exist, and there have been regular discussions about RCI here. 

d63

phew! just checked! they do seem to still be there, just as well since they are holding a considerable amount of my life-savings. but as for that 1.2%, alas, now a distant memory of happier times. was reduced to 1.05% for existing customers at the beginning of this month and now it seems they have even reduced that to 0.9% for new customers, which doesn't bode well. 

edit: oh rats! the freedom account easy access rate IS going down to 0.9% from 1st july for everyone, according to what they say here: https://www.rcibank.co.uk/support-centre/legal-centre/your-agreement
just haven't had the email yet.

I_am_spartacus

Hi Guys,

Hope you are all well in these strange “twilight zones” times.

My “pennies worth” re RCI bank, I was looking for a safe haven for some of my savings, wanted a fixed rate so as to insure interest for a reasonable time, I choose the RCI 95 day notice account paying interest monthly @ 1.39%,

I applied online 25/5/20 no problems, I phoned up the next day (before crediting my new account with the minimum requirements of £1000) to check how much notice of interest rate drop I would get, and if any such were in the pipeline. I was told I would get minimum of 109 days notice and no drops aware of.

Forward to 8/6/20 I received the following e mail

“We recently decreased the rate on our 95 Day Notice Account for new customers from 1.40% AER gross variable to 1.00% AER gross variable.

As an existing customer, we will maintain your current rate of 1.40% AER gross variable until the 26th of September 2020. After this date the rate on your account will be reduced, in line with our new customer rate of 1.00% AER gross variable.

We don’t make these decisions lightly and we will consider a lot of factors before we reduce the rates on our savings products. These include the need for deposits to invest in our UK businesses, the interest rates on similar products offered by competitors and the Bank of England base rate.

All withdrawals are subject to 95 days’ notice. If you would like to partially withdraw your balance or close your account before the new reduced rate of 1.00% AER gross variable applies to your account, please allow enough time to do this.

To find out more information about the rates on your account, please visit rcibank.co.uk/support-centre/legal-centre/your-agreement.

If you have any questions, we’re here to help 7 days a week and can be contacted by phone 0345 6056 050, email hello@rcibank.co.uk and secure message through online banking.

Yours sincerely, “     (my bold highlighting)

Nice they gave me over the minimum 109 days notice, but I was hoping for a bit longer!

So just opened my account on the 26/5/20, and now going to have to give my required 95 day notice to close account on the 23/6/20 (approx)

eskbanker

I_am_spartacus said:

I was looking for a safe haven for some of my savings, wanted a fixed rate so as to insure interest for a reasonable time, I choose the RCI 95 day notice account paying interest monthly @ 1.39%

Why not go for an actual fixed rate then, rather than a variable one that just has to give a few months' notice of a change, or is that what you mean by 'a reasonable time'?

I_am_spartacus

eskbanker said:

I_am_spartacus said:

I was looking for a safe haven for some of my savings, wanted a fixed rate so as to insure interest for a reasonable time, I choose the RCI 95 day notice account paying interest monthly @ 1.39%

Why not go for an actual fixed rate then, rather than a variable one that just has to give a few months' notice of a change, or is that what you mean by 'a reasonable time'?

Hi Eskbanker,

With the situation as it is in the economy at the moment, I did not wish to tie my money up longer than 3 months.

After 27th September 2020 I will be moving to the good old NS&I Income bonds @ 1.16% (at the moment!!!!!) I could have a dabble on the stock market? Although thats a bit “Alice through the looking glass” at the moment! (just like a reflection, everything is reversed, including logic)

DefJef

My experience with them has been appalling. Don't answer the phone for ages, don't answer emails, don't answer messages within their website for days if at all. They took 8 weeks to confirm that they had all the ID details they needed then said I needed to send funds within 14 days of applying. This was plainly nonsense. After EVENTUALLY getting through to them I was told no, it was within 14 days of the account opening. When I asked when that was they couldn't really say! 

In trepidation I sent an online transfer from Santander to RCI on Monday 6th July and left them a private message that I had done so. They have never answered that message. I checked every day until Friday 10th July to see the money appear in the account. It never did. It just bounced back to Santander on the Friday! Can't get through to find out why. I suspect it was outside the mysterious 14 day time frame that nobody could actually describe for me.

Shockingly bad. DO NOT USE THEM. That's one bank I won't be clapping, Boris.

DefJef

eskbanker said:

I_am_spartacus said:

I was looking for a safe haven for some of my savings, wanted a fixed rate so as to insure interest for a reasonable time, I choose the RCI 95 day notice account paying interest monthly @ 1.39%

Why not go for an actual fixed rate then, rather than a variable one that just has to give a few months' notice of a change, or is that what you mean by 'a reasonable time'?

That's exactly what I tried to do. But they take so long to open the account and reply to queries that you just seem to fall outside their 14 day window to fund the account. I've tried twice and both times ended up with the account closed through lack of funds being processed in time. 

Their window EITHER starts when you apply, in which case there's no chance at their speed of even getting the account open in 14 days, or else it MAY start when they open it but they can't seem to tell you when that was. Either way the 14 window closes before you can take any action upon it. 

I do have an one open Fixed rate account with them with a balance of £0.00 in it, so I have no idea why it wouldn't take the money. It's either open or it isn't surely?

Forget about using them. The strife isn't worth it. I don't actually think they want the money.

kaMelo

I've opened accounts at RCI, both variable and fixed and don't understand why the need to contact them.
The fixed account application ends by giving you the account no/sort code and what reference you need to make payment from your own bank or you can send a cheque to the address given. 
Your account is open at this point and the fourteen day clock starts now. You have all the details you need to make a payment into your account, simply make the payment using these details within fourteen days. Job done no contact required.

Yes, they do send you a letter to authenticate you before you can use online banking which can take a week or two however you don't need online access to pay into your account.

colsten

kaMelo said:

Yes, they do send you a letter to authenticate you before you can use online banking which can take a week or two however you don't need online access to pay into your account.

Actually, I don't think that's quite true. RCI don't allow you to make any deposit unless you have verified your linked account. This can only be done online. Thus you do need online access before you can make a deposit. However, this is a one-off for new customers, so not a big deal IMO.

kaMelo

Edited because I checked my emails again and I was totally wrong and colsten was correct.

You do need to authenticate the linked account first.

 >>  (goes off to eat slice of humble pie)