Masthaven Bank

srowan

As advised by Moneysaving Expert last month I put my savings in this bank, only to be told that they are now going out of business, I have a 1 year term with them but unlike the Nationwide (for example) they will not let me take my money out (I was happy to lose any accrued interest) they said they are working with the FCA and another announcement is coming in 6 months time! that is the last time I will listen to advise from MSE

lozzy1965

Anyone can only comment on the information they have available at the time.  If it was a good deal when it was recommended and their financial precariousness was unknown you can't expect a site like MSE not to recommend them.

Daliah

Why do you want to take your money out? It is normal that you cannot terminate fixed term savings accounts, unless they are ISAs.

AFAICS, the Masthaven action does not represent any disadvantages to your account, as Masthaven will honour the terms you agreed to when you opened your account.

Note also, you were not advised to put your money into Masthaven. Advice has a special meaning in the financial world, and MSE makes it clear that nothing on the site constitutes advice.

SallySunshine

Yes, I was surprised to be e-mailed today about that, but not really as the only savings offer they had the other day was 0.5%

Ironically I have a 3 yr fix at 2.4% which is ending next month so had checked to see what they had  on offer.
They state they withdraw from the U.K. banking market over the next 2 years but have enough liquidity/funds to carry on.
if you had a fixed term, that would remain until it matured. 
If it matures during or after 2023, they will be in touch in the next few months.

eskbanker

srowan said:

As advised by Moneysaving Expert last month I put my savings in this bank, only to be told that they are now going out of business, I have a 1 year term with them but unlike the Nationwide (for example) they will not let me take my money out (I was happy to lose any accrued interest) they said they are working with the FCA and another announcement is coming in 6 months time! that is the last time I will listen to advise from MSE

Who told you they're going out of business?  They're making a (now-)planned withdrawal from the UK market and have reassured savers (who'd be protected by FSCS anyway) that there's no need to rush for the exit door, so they're not relaxing any terms.

https://www.masthaven.co.uk/News/February-2022/FAQs-for-savers

Is my money safe?
Yes. Your savings are safe, and your account and access to eBanking will continue to operate as normal.  Throughout this process your savings will continue to be protected by the Financial Services Compensation Scheme.

What do I need to do?
You don’t need to take any action. Your savings are safe, and your account and access to eBanking will continue to operate as normal.

Can I withdraw the funds from my savings account?
The terms and conditions of your account have not changed. If you have an eSaver account with us, you can withdraw your funds. If you have a fixed term account with us, you will not be able to withdraw your funds until maturity.

whattochoose

I have a 4 year Flexible Monthly Saver account that I took out in 2019 which matures in July 2023.
Based on the FAQ information they've provided my account appears secure until it matures.
I'm presently getting 2.37% monthly interest on the account. 
Not confident I'll get that if I decide to reinvest with another provider.