Nationwide Triple Access Online Saver

hallmark

This account is meant to be variable interest rate.  However it appears that in practice that's not true. I have issue 11 which pays 0.40%. Issue 12 pays 0.45%.  There's now issue 13 which pays 0.70% however the interest rate on issues 11 and 12 hasn't been increased.

Dodgy behaviour IMO designed to catch people out.  If you check interest rates on their site you can't even see the rates for previous issues, all it shows for Triple Access is issue 13 paying 0.70%

Section62

hallmark said:

This account is meant to be variable interest rate.  However it appears that in practice that's not true. I have issue 11 which pays 0.40%. Issue 12 pays 0.45%.  There's now issue 13 which pays 0.70% however the interest rate on issues 11 and 12 hasn't been increased.

Dodgy behaviour IMO designed to catch people out.  If you check interest rates on their site you can't even see the rates for previous issues, all it shows for Triple Access is issue 13 paying 0.70%

'Variable' just means they can change the interest rate, it doesn't mean they have to.

A variable rate product shouldn't be confused with a tracker-type product.

hallmark

Of course but there will be lots of people who see the new rate and fail to understand THEIR version of the identical savings account is actually paying much lower interest.  Anybody paying attention can open the new account, transfer the money across and close the old account.  But that shouldn't be necessary somewhere that likes to boast about members and loyalty.  And there will be lots of people who don't pay attention and lose out.  It's not going to cost me money but I think it's pretty shoddy.

Daliah

hallmark said:

Of course but there will be lots of people who see the new rate and fail to understand THEIR version of the identical savings account is actually paying much lower interest.  Anybody paying attention can open the new account, transfer the money across and close the old account.  But that shouldn't be necessary somewhere that likes to boast about members and loyalty.  And there will be lots of people who don't pay attention and lose out.  It's not going to cost me money but I think it's pretty shoddy.

The Nationwide Tripke Access Online Saver is by no means an exception. It is widely applied industry practice that new issues are launched for open-ended accounts when variable rates change, up or down. 

It is also widely known that people have money lingering in accounts which pay next to no, or even no, interest. Their decision, their responsibility, their money. It’s easier than ever to find the best rates, and to move your money if you want to avail yourself of a better rate.

It’s also very easy to find out what rate applies to an account you hold as the providers must display the rate on the account

Section62

hallmark said:

Of course but there will be lots of people who see the new rate and fail to understand THEIR version of the identical savings account is actually paying much lower interest.  Anybody paying attention can open the new account, transfer the money across and close the old account.  But that shouldn't be necessary somewhere that likes to boast about members and loyalty.  And there will be lots of people who don't pay attention and lose out.  It's not going to cost me money but I think it's pretty shoddy.

Anyone paying attention should probably have the bulk of their savings anywhere other than Nationwide.

Nationwide have long since disconnected membership and loyalty from obtaining the best rates - e.g. the "Loyalty Saver" product (no longer available for new applications) paying a terrible 0.4% interest, and no longer differentiating between lengths of membership.

ColdIron

If they switched everybody to the highest rate they probably couldn't afford to offer that higher rate

MoneyMate

Hi Hallmark, I had the same problem, you have to close your old accounts down, ( interest earned will be transferred to your nominated account ) then open the new 0.70 account and transfer in what you want.

Daliah

MoneyMate said:

Hi Hallmark, I had the same problem, you have to close your old accounts down, ( interest earned will be transferred to your nominated account ) then open the new 0.70 account and transfer in what you want.

Why would you keep your money in an account that comes with various restrictions and that doesn't pay the best rate in the market?

MoneyMate

Daliah said:

MoneyMate said:

Hi Hallmark, I had the same problem, you have to close your old accounts down, ( interest earned will be transferred to your nominated account ) then open the new 0.70 account and transfer in what you want.

Why would you keep your money in an account that comes with various restrictions and that doesn't pay the best rate in the market?

Loyalty ( a tradition somewhat dying out )

Malchester

MoneyMate said:

Daliah said:

MoneyMate said:

Hi Hallmark, I had the same problem, you have to close your old accounts down, ( interest earned will be transferred to your nominated account ) then open the new 0.70 account and transfer in what you want.

Why would you keep your money in an account that comes with various restrictions and that doesn't pay the best rate in the market?

Loyalty ( a tradition somewhat dying out )

Loyalty goes both ways. I have not had savings with Nationwide for a few years now. As a loyal customer of over 30 years (with current account the only account still with them) I have been appalled that they can use the word 'loyal' alongside the rates they have offered longstanding customers and still say they are special for us.

Daliah

MoneyMate said:

Daliah said:

MoneyMate said:

Hi Hallmark, I had the same problem, you have to close your old accounts down, ( interest earned will be transferred to your nominated account ) then open the new 0.70 account and transfer in what you want.

Why would you keep your money in an account that comes with various restrictions and that doesn't pay the best rate in the market?

Loyalty ( a tradition somewhat dying out )

They will love people like you as you are easy to make money from.

For several years now, there has not been an advantage of being a longstanding Nationwide member, despite them trying to sell the occasional product with "Loyalty" in the title. If you have a dormant, or semi-dormant, current account with them, they'll still up your membership years (I am at 23 myself). So as and if (very big if) they will ever offer any real loyalty-specials again, you can still get them. You don't have to sacrifice interest for the - now questionable - privilege of being a long-standing Nationwide member.