Nationwide 0.75% 18 month ISA plus £50 bonus *** now withdrawn

pbartlett

you can transfer as much as you want from any years subscriptions - i did it. Must be 10k min obviously to get the £50

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Rich2808

wiseonesomeofthetime said:

pbartlett said:

Doshwaster said:

I've taken a look at this but I think I'm going to go with the 0.4% Triple Access account.  The extra 0.35% isn't enough to make it worth locking away the money for 18 months. Hopefully I will be able to have a big holiday next year so may need to access the cash.

dont forget all cash isas are instant access or easy access or whatever they call it.....

This one is accessible, but at a cost, and if you want your money back inside the first 180 days, would actually cost you money.

https://www.nationwide.co.uk/products/savings/member-exclusive-fixed-rate-isa/features-and-benefits
"Yes, but you’ll have to take out all of your money and close the account.

If you do, you’ll need to pay an early access charge of 180 days’ interest. If there is not enough interest earned to cover the early access charge then the difference will be taken from the money in the account. This means you might get back less than you put in.

There’s no early access charge if you cancel your account within 14 days of opening it."

Noted but say you transfer in £10,000 and earn the £50 bonus. After a year you decide to transfer the entire sum out - you have earned £75 in interest, pay a £37.50 charge - so net interest of £37.50. Add on the £50 and you made £87.50 so have in effect earned 0.875% of interest.
Still better value - even with closure and penalty - than the 0.4% on their instant access triple access ISA. As the £50 is paid within 3 months and isn't taken back as far as I am aware?
The £50 bonus makes a big difference - albeit if you transfer in much larger sums than £10k the benefit gets reduced as the penalty charge is bigger!
So do the sums - as it may still work out even if you think you might need to close it before the 18 months are up.

pbartlett

wiseonesomeofthetime said:

pbartlett said:

Doshwaster said:

I've taken a look at this but I think I'm going to go with the 0.4% Triple Access account.  The extra 0.35% isn't enough to make it worth locking away the money for 18 months. Hopefully I will be able to have a big holiday next year so may need to access the cash.

dont forget all cash isas are instant access or easy access or whatever they call it.....

This one is accessible, but at a cost, and if you want your money back inside the first 180 days, would actually cost you money.

https://www.nationwide.co.uk/products/savings/member-exclusive-fixed-rate-isa/features-and-benefits
"Yes, but you’ll have to take out all of your money and close the account.

If you do, you’ll need to pay an early access charge of 180 days’ interest. If there is not enough interest earned to cover the early access charge then the difference will be taken from the money in the account. This means you might get back less than you put in.

There’s no early access charge if you cancel your account within 14 days of opening it."

yes as you say there is a cost, but i was just making the point that fixed rate cash isas are always instant access - this compares with eg a fixed rate bond which generally can't be accessed until maturity. 

Ljc80_2

pbartlett said:

you can transfer as much as you want from any years subscriptions - i did it. Must be 10k min obviously to get the £50

.

Thanks. This is the first year i've had a fixed rate ISA - I take it I do have to wait until the maturity date to start the ball rolling on a transfer even so if I did it a few days in advance the transfer still wont go through until after the date? 

Malchester

Usually on a transfer form there is a question as to whether you want the transfer immediately (and pay the interest charge for early closure) or wait until until the maturity date. I have always applied for transfers before the maturity date and never had a problem

Richchad

Malchester said:

Usually on a transfer form there is a question as to whether you want the transfer immediately (and pay the interest charge for early closure) or wait until until the maturity date. I have always applied for transfers before the maturity date and never had a problem

So i have an ISA with Charter Bank due to end in June, what is the chance of transfering this to NW when it matures if I apply now?

I have already opened a new NW fixed ISA for this tax year 20/21, not sure if that makes any difference as the transfer in is from previous years.

As Charter Bank isn't on the online transfer option I have a transfer pack sent to me and there are options to transfer all or part of the transfer in and boxes to tick for immediate or to serve full notice period before transfer.

Malchester

Richchad said:

Malchester said:

Usually on a transfer form there is a question as to whether you want the transfer immediately (and pay the interest charge for early closure) or wait until until the maturity date. I have always applied for transfers before the maturity date and never had a problem

So i have an ISA with Charter Bank due to end in June, what is the chance of transfering this to NW when it matures if I apply now?

I have already opened a new NW fixed ISA for this tax year 20/21, not sure if that makes any difference as the transfer in is from previous years.

As Charter Bank isn't on the online transfer option I have a transfer pack sent to me and there are options to transfer all or part of the transfer in and boxes to tick for immediate or to serve full notice period before transfer.

I think June is too far ahead to pre-arrange an ISA transfer. I usually do it about 2 weeks ahead. I have a Ford Money 1 yr ISA maturing 13 May and will send the transfer form to Principality to whom I am transferring it towards the end of April.

Richchad

Malchester said:

I think June is too far ahead to pre-arrange an ISA transfer. I usually do it about 2 weeks ahead. I have a Ford Money 1 yr ISA maturing 13 May and will send the transfer form to Principality to whom I am transferring it towards the end of April.

Since posting I went on the NW chat and was told it would be okay up to 90 days, she said if I apply now it will transfer at end of notice period if within 90 days....

So I have completed the transfer forms they sent as can't transfer Charter Bank online and we will see if it happens I guess.

Riskman

15 and 18 month fixes are a con.  Tried getting a competitive rate between July and March when all the best offers (like this Nationwide 0.75% 18 month fix) close on the 1st of July.  The rate will drop to 0.1% or less at the end of the term so for the next 6 to 9 months you are on a very poor rate.  Average that out over 2 years and you find you could have done better elsewhere.

Malchester

Riskman said:

15 and 18 month fixes are a con.  Tried getting a competitive rate between July and March when all the best offers (like this Nationwide 0.75% 18 month fix) close on the 1st of July.  The rate will drop to 0.1% or less at the end of the term so for the next 6 to 9 months you are on a very poor rate.  Average that out over 2 years and you find you could have done better elsewhere.

Riskman. Not sure what you are trying to say here. It may be me who is failing to understand some simple logic. If I take out a Nationwide 18 mth fix on 1 April I get 0.75% for 18 months from that date. After 18 mths the rate will drop (as with all fixed rate accounts) so I then transfer it somewhere else to get a better rate. Also, if I transfer in £10k from  an ISA elsewhere I get £50 bonus. I am not taking one out because I have fixes paying much higher rates elsewhere,