The Top Fixed Interest Savings Discussion Area

Patr100

United Trust Bank have
4.6%  12 month
4.7% 15 month
4.85% 2 year
Min 5000 - (no monthly interest option)

janusdesign

t1redmonkey said:

janusdesign said:

am I right in thinking that Gatehouse fixed-rate accounts need to be funded by "new" money from a nominated account and you can't transfer / fund from another Gatehouse account ?

Yes doesn't seem to be a way to move money in an easy access account with them across to a fixed rate account unfortunately.

to answer my own question, it turns out that you can fund from an existing Gatehouse account - you just need to ring them to do it as you can't do it via the site or app.

I was told that it might take them a couple of days to process it, but they will backdate the payment to today.

so I transferred some money from the easy access account to a new 5-Yr fix without all the hassle of payments to/from the nominated account.. I did fund it initially with a £1k transfer from the nominated account, but if I had known about the option at the time, I could probably have done it all internally.

as an aside, the lady I spoke to on the phone (who answered immediately btw) was very helpful.

janusdesign

I see Union Bank of India are back in the tables (£5k - £340k)...

1 year - 4.60%
2 years - 5.00%
3 years - 4.80%
4 years - 4.60%
5 years - 4.60%

happybagger

Although for those that are interested, the summary box says the max is £1m

For anyone wanting a bond over 1 year, bear in mind interest added to the account annually does NOT gain interest in subsequent years, so you may as well have it paid away.

Edit: The application does not go through if you do not have a house number!

refluxer

happybagger said:

For anyone wanting a bond over 1 year, bear in mind interest added to the account annually does NOT gain interest in subsequent years, so you may as well have it paid away.

That sounds like a very unusual way of operating a fixed rate savings account. 

Is that what is meant by this (confusing) statement from their FAQs ?

"Interest will be paid only on maturity. Yearly interests will be getting accrued till maturity and no interest will be paid on these interest amounts as its simple interest paying account."

Sensory

refluxer said:

happybagger said:

For anyone wanting a bond over 1 year, bear in mind interest added to the account annually does NOT gain interest in subsequent years, so you may as well have it paid away.

That sounds like a very unusual way of operating a fixed rate savings account. 

Is that what is meant by this (confusing) statement from their FAQs ?

"Interest will be paid only on maturity. Yearly interests will be getting accrued till maturity and no interest will be paid on these interest amounts as its simple interest paying account."

It's no different to interest being paid monthly/annually to a different account. No compound interest is common for fixed terms.

Patr100

janusdesign said:

I see Union Bank of India are back in the tables (£5k - £340k)...

1 year - 4.60%
2 years - 5.00%
3 years - 4.80%
4 years - 4.60%
5 years - 4.60%

Moneyacts is summarising only opened by branch or post, so really off putting IMO.
Info on website is sparse. They dont seem to have any branches!
FAQs suggest  passport or Drivers licence needed for ID checks.

refluxer

Sensory said:

refluxer said:

happybagger said:

For anyone wanting a bond over 1 year, bear in mind interest added to the account annually does NOT gain interest in subsequent years, so you may as well have it paid away.

That sounds like a very unusual way of operating a fixed rate savings account. 

Is that what is meant by this (confusing) statement from their FAQs ?

"Interest will be paid only on maturity. Yearly interests will be getting accrued till maturity and no interest will be paid on these interest amounts as its simple interest paying account."

It's no different to interest being paid monthly/annually to a different account. No compound interest is common for fixed terms.

Yes, that's going to be the case when interest is paid away to an external account but to not pay further interest on an interest payment that is paid into the account isn't usual.

I've had many fixed rate accounts over the years and interest is always compounded when paid into the account, whether that's monthly interest paid into a one-year fix or annual interest paid into a fixed rate >1 year.

Sensory

refluxer said:

Sensory said:

refluxer said:

happybagger said:

For anyone wanting a bond over 1 year, bear in mind interest added to the account annually does NOT gain interest in subsequent years, so you may as well have it paid away.

That sounds like a very unusual way of operating a fixed rate savings account. 

Is that what is meant by this (confusing) statement from their FAQs ?

"Interest will be paid only on maturity. Yearly interests will be getting accrued till maturity and no interest will be paid on these interest amounts as its simple interest paying account."

It's no different to interest being paid monthly/annually to a different account. No compound interest is common for fixed terms.

Yes, that's going to be the case when interest is paid away to an external account but to not pay further interest on an interest payment that is paid into the account isn't usual.

I've had many fixed rate accounts over the years and interest is always compounded when paid into the account, whether that's monthly interest paid into a one-year fix or annual interest paid into a fixed rate >1 year.

The FAQ states interest is paid only on maturity, so it's simply not possible for compound interest to accrue.

happybagger

Interest is PAID annually. The customer then chooses whether it is paid out to the nominated account or back into the bond.
If it is added to the bond, that portion of the account will subsequently be earning interest at 0%

See the terms in the summary box here.
https://www.unionbankofindiauk.co.uk/Portals/0/pdf/rates/Summary_Box_Fixed_rate_GBP_deposit_08_11_2022.pdf

I think Oxbury did the same when they were in the best buy tables recently.

But this is not normal.