The Top Fixed Interest Savings Discussion Area

BooJewels

Ford Money Fixes, I think these rates have only gone up since midnight.  I knew the EA was due up 'on Wednesday' and these have gone up too, when I just went to log in.  I realise that they're not top rates, but they have features that I personally like, such as monthly interest paid out elsewhere.

Fixed Saver 1 Year £500 min. 5.00% annually 4.89% monthly

Fixed Saver 2 Year £500 min  5.15% annually 5.03% monthly

Fixed Saver 3 Year £500 min  5.20% annually 5.08% monthly

francoghezzi

Stubborn inflation at 8.7%. Is the road towards 7% fixed savers open?

retiringtoosoon

my guess:
0.5% increase in BOE rates tomorrow
6.5% one year fix in 3 months time imo

Eirambler

This could just go higher and higher, the UK has an absolutely massive inflation problem now. Definitely wouldn't be fixing anything at the rates on offer at the moment.

Secret2ndAccount

Eirambler said:

This could just go higher and higher, the UK has an absolutely massive inflation problem now. Definitely wouldn't be fixing anything at the rates on offer at the moment.

But how long should we wait? I agree rates are headed upwards, but I've got money sitting at 4.25% which could be earning 5.7% today. I'm thinking I will take the plunge. If inflation is that sticky, a good rate will be available 1 year from now when the fix matures.

BooJewels

Secret2ndAccount said:

Eirambler said:

This could just go higher and higher, the UK has an absolutely massive inflation problem now. Definitely wouldn't be fixing anything at the rates on offer at the moment.

But how long should we wait? I agree rates are headed upwards, but I've got money sitting at 4.25% which could be earning 5.7% today. I'm thinking I will take the plunge. If inflation is that sticky, a good rate will be available 1 year from now when the fix matures.

I'm exactly the same, I have money waiting to be fixed, but waiting costs money too - so timing it is tricky.  I'm going to wait a week, see what happens with the Base Rate, then if that filters through into accounts.  Much longer would negate any potential increase in fixed rates.

Bigwheels1111

Secret2ndAccount said:

Eirambler said:

This could just go higher and higher, the UK has an absolutely massive inflation problem now. Definitely wouldn't be fixing anything at the rates on offer at the moment.

But how long should we wait? I agree rates are headed upwards, but I've got money sitting at 4.25% which could be earning 5.7% today. I'm thinking I will take the plunge. If inflation is that sticky, a good rate will be available 1 year from now when the fix matures.

You have to bit the bullet at some point.

Last year rates went to 5% plus and I waited for more rises.

Got caught out.

Only managed to get 5% 5 year, 4.85% 5 year,4.5% 7 year, 4.4% 3year etc.

I will get a nice income for 5 years and ok income for 2 monre years.

Who knows what rate will be in 5 years let alone 5 weeks.

2 years ago it was 1%. Next year I need to file a tax return, not complaining.

RG2015

Secret2ndAccount said:

Eirambler said:

This could just go higher and higher, the UK has an absolutely massive inflation problem now. Definitely wouldn't be fixing anything at the rates on offer at the moment.

But how long should we wait? I agree rates are headed upwards, but I've got money sitting at 4.25% which could be earning 5.7% today. I'm thinking I will take the plunge. If inflation is that sticky, a good rate will be available 1 year from now when the fix matures.

I favour the 12 month ladder system for 1 year fixes. I now have accounts maturing towards the end of every month until May 2024.

These maturing fixes range from 2.45% next week to 4.96% in May 2024.

Hopefully rates will be close to 6% when I am in the market next week.

ZeroSum

Market expectations are that base rate will peak at 6% in Dec or Jan.

pecunianonolet

RG2015 said:

Secret2ndAccount said:

Eirambler said:

This could just go higher and higher, the UK has an absolutely massive inflation problem now. Definitely wouldn't be fixing anything at the rates on offer at the moment.

But how long should we wait? I agree rates are headed upwards, but I've got money sitting at 4.25% which could be earning 5.7% today. I'm thinking I will take the plunge. If inflation is that sticky, a good rate will be available 1 year from now when the fix matures.

I favour the 12 month ladder system for 1 year fixes. I now have accounts maturing towards the end of every month until May 2024.

These maturing fixes range from 2.45% next week to 4.96% in May 2024.

Hopefully rates will be close to 6% when I am in the market next week.

The interesting bit would now be what's in your 12 pots. 

As somebody said, flexibility comes at a price.

Fixed end of last November with Atom a 6, 9 and 12 month bond at 3.55%, 3.95% and 4.35% and waiting now for the 9 months fix to mature in August. A 12 month fix with Ford in Jan for 4.45%. 

End of March a 1y ISA fix with Virgin for 4.25%, again leading at the time. In April I went with a Shawbrook 1y fix at 4.21%, was going with them to treat them as an ISA regular saver due to no funding window. 

Do I regret any of those fixes? No, although the Shawbrook hurts a bit especially as their next raise was 17 days after my fix and I was 3 days out of the cooling off window.

They were leading rates at a time and if you wait forever, you will never fix anything. However, in the current climate, I wouldn't want to commit to anything longer than 6 months unless we see 6.xx. I can't imagine we will see 7.xx%. We will find out and in 6 months time the world will be very different and so will be the conversations.