The Top Fixed Interest Savings Discussion Area

Pompeydave1967

StayinAlive said:

Al Rayan popped up with 4.31% AER for one year

Are we seeing some movement at last ?…

Expotter

StayinAlive said:

Al Rayan popped up with 4.31% AER for one year

Also 4.47% for 2 years and 4.57% for 3

Longer term savings | Islamic banking | Sharia compliant & ethical (alrayanbank.co.uk)

intalex

Thread has been rather quiet... anything cooking in the underlying drivers that could suggest imminent movements??

Johnjdc

intalex said:

Thread has been rather quiet... anything cooking in the underlying drivers that could suggest imminent movements??

Yes - gilt and swap rates are both shooting up, particularly at 1/2 year periods, but it doesn't seem to be having a meaningful impact on savings accounts.

To get an idea of the scale of the disconnect, fixed rates have often been something like 0.6% above gilts, or 0.3% above swaps, give or take. At the moment, gilts are just over 4% for both 1 and 2 year, and swap are 4.6% for 1 year and 4.5% for 2 year. So you might expect 1 and 2 year rates to be edging towards 5%.

I assume the reason this hasn't happened is that banks are just taking the risk that for a short period like 1/2 years they can fund themselves with instant access at 3%, and instant access rates won't go above 4.5% so why offer it, particularly if they operate as an informal cartel - people have to put their money somewhere!

Pompeydave1967

I’m also keeping my fingers crossed something higher than vanquish 3 yr @ 4.4% pops up in the next 3 weeks otherwise my business goes to them.

janusdesign

Pompeydave1967 said:

I’m also keeping my fingers crossed something higher than vanquish 3 yr @ 4.4% pops up in the next 3 weeks otherwise my business goes to them.

you can't, or don't want to go with, Al Rayan @ 4.57% for 3 years ?

Pompeydave1967

janusdesign said:

Pompeydave1967 said:

I’m also keeping my fingers crossed something higher than vanquish 3 yr @ 4.4% pops up in the next 3 weeks otherwise my business goes to them.

you can't, or don't want to go with, Al Rayan @ 4.57% for 3 years ?

Thanks janus didn’t see that one , won’t make a huge diff on £40k approx £70/year but every little helps at the moment. 

refluxer

Some banks seem to have bucked the general slow, downward trend and put their fixed rates up a bit during the last week - Tandem went from 4.00% to 4.25% and Atom from 4.15% to 4.20% for 1 year, for example.

Pompeydave1967

Yes I noticed that too refluxer , I’m hoping Atom might increase again as already have several fixes with them.Also Shawbrook but their rates are dire at the moment .

ranciduk

refluxer said:

Some banks seem to have bucked the general slow, downward trend and put their fixed rates up a bit during the last week - Tandem went from 4.00% to 4.25% and Atom from 4.15% to 4.20% for 1 year, for example.

So have TSB