Can you open multiple Nationwide Fixed Rate Online Bond accounts?

david72

Does anyone know if you can open multiple Nationwide "Fixed Rate Online Bond" accounts?

I am thinking of setting up a bond ladder by having multiple bonds on the go, opening a new account every month or two. Sometimes bsocs and banks restrict you to having only one of a particular account, but, unless I've missed something, I don't see such a restriction in the blurb for this account?

refluxer

In my experience, it tends to be accounts with issue numbers (like some Regular Savers or certain types of easy access accounts/ISAs) or rewards accounts with unusually high interest rates (like the Barclays Rainy Day Saver) that limit you to one per issue. I open fixed rate bonds like you describe quite often and have not yet seen any such limitations - at least not with the banks and building societies I've dealt with.

If you're keen on taking advantage of the best rate each month, then it's actually quite likely you'll need to open accounts with different providers because those who make the top of the tables don't often stay there for long !

I've not read through the full T&Cs for the Nationwide fixed rate bonds but I would be surprised if you couldn't open as many as you like. Just watch the FSCS limit if these are collectively large amounts, obviously. 

refluxer

If you've opened fixed rate bonds with Nationwide in the past, it's worth noting that their new 'Fixed Rate Online Bond' does not allow you to withdraw money early with a penalty like their old 'Fixed Rate e-Bonds' used to, which brings them in line with the majority of other providers who don't allow access until maturity with this type of account.

wmb194

My experience with Nationwide is that it's never been a problem to hold multiple bonds and looking at the terms for these nothing appears to have changed.

The thing I don't like about these new ones vs the 'ebonds' it's offered in the past is that these have no option to pay out interest to another account during the term, monthly or annual.

km1500

i have opened multiple FR bonds of the same type and issue no in the past.

david72

Thanks, all, I'll certainly open (at least) one of these accounts. The good thing about these accounts from my perspective is that you don't need to have a lot of savings to open an account, and so even if you only have a relatively small amount available to save (in total, or each month), you can still get a better rate than instant access (although some of those are now creeping up even further again!). I know that some other fixed term accounts do pay a little more interest, but require a rather higher deposit.

wmb194

You also have 14 days to think about whether to add more than a minimal amount.