4.93% 5 year fix (Zopa)

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About November time last year I was looking for a 5 year 5% monthly interest pay away savings account, ford money fitted the criteria, but I was hoping for more. As you all know by January all fixed savings rates dropped.

Well, here we are today, things are looking rosy again. I’ve had two weeks in the cooler to read and digest the financial news, it seems inflation is going nowhere anytime soon. Interest rates very likely going in one direction. Some of you I guess are jumping in now, I’m siting on my hands (again) waiting for the big one (recent history) 5.50% is my target. Who’s joining me?     

trickydicky14

Thumbs_Up said:

About November time last year I was looking for a 5 year 5% monthly interest pay away savings account, ford money fitted the criteria, but I was hoping for more. As you all know by January all fixed savings rates dropped.

Well, here we are today, things are looking rosy again. I’ve had two weeks in the cooler to read and digest the financial news, it seems inflation is going nowhere anytime soon. Interest rates very likely going in one direction. Some of you I guess are jumping in now, I’m siting on my hands (again) waiting for the big one (recent history) 5.50% is my target. Who’s joining me?     

 

Just out of interest, what sort of interest has your money been making since last November? Is it not possible all this sitting on hands could in the long run cost you money?

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trickydicky14 said:

  Just out of interest, what sort of interest has your money been making since last November? Is it not possible all this sitting on hands could in the long run cost you money?

I actively seek the best rates of the time period. Currently I have 500k mixed with all these accounts below, Cut and pasted from my notes.

Natwest   @ 6.17%  
Coventry  @ 5.10%     
HTB       @ 4.91%       
ALRyan    @ 4.87%           
Vanquis   @ 4.84%  
Shawbrook @ 4.60%  
Shawbrook @ 4.20%  
Newcastle @ 4.03%  
Barkclays @ 3.92%  
Tandem    @ 3.75%  
Cynergy   @ 3.71%  
Shawbrook @ 3.69%  
ALRyan    @ 3.56% 
Aldermore @ 3.55%  
Atom6month@ 3.45%  
Zopa      @ 3.46%  
Santander @ 3.20%    
Atom      @ 3.10%  
NS@I      @ 2.85% 

intalex

I am also holding on in Tandem @ 3.75% AER for a bit longer to see if a better monthly pay-away interest rate comes up on a longer term fix. But I do generally open a couple of decent options and wait through most of their deposit windows, in case something flips in the markets and rates start dropping.

PS> Zopa is monthly but not pay-away, it requires compounding within the fixed account.

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I’m aware of the evils of inflation, so no advice on that one. The plan was to buy a house this year,  now I’m just waiting for the recession to kick in (out of my control)  a double whammy if you like. I get more money out of the banks, and pay Much less to a potential home seller. Well, that’s the plan.

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Thumbs_Up said:

 Interest rates very likely going in one direction. Some of you I guess are jumping in now, I’m siting on my hands (again) waiting for the big one (recent history) 5.50% is my target. Who’s joining me?     

It’s coming, the barrier has gone, now it time for the dam to be breached. Some of us will be swimming in the money. Just hold the line!

Ted_01

I thought I was pretty clever locking in at the peak last November, a 3yr Vanquis at 5% (£80k), and a 5yr Close Brothers at 5.05% (£25k). Not looking so good now. My worse fix is a 2 year Shawbrook at 4.75% (£40k), again opened last November. I never imagined rates would shoot back up again after the peak.

I am sitting on my hands too, partly because I have to, some money is locked in a 1 year fix - maturing at the end of the year, but also because I'm betting on rates continuing upwards too, and this time I'd rather miss the peak on the down-slope, than miss the peak on the up-slope, if that makes sense.

So today I opened a 6 month fix with Allica Bank 4.61% and locked away my remaining cash, so I'm commited to waiting till the end of the year before doing any more fixes.

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Ted_01 said:

I thought I was pretty clever locking in at the peak last November, a 3yr Vanquis at 5% (£80k), and a 5yr Close Brothers at 5.05% (£25k). Not looking so good now. My worse fix is a 2 year Shawbrook at 4.75% (£40k), again opened last November. I never imagined rates would shoot back up again after the peak.

I am sitting on my hands too, partly because I have to, some money is locked in a 1 year fix - maturing at the end of the year, but also because I'm betting on rates continuing upwards too, and this time I'd rather miss the peak on the down-slope, than miss the peak on the up-slope, if that makes sense.

So today I opened a 6 month fix with Allica Bank 4.61% and locked away my remaining cash, so I'm commited to waiting till the end of the year before doing any more fixes.

Don’t be to hard on yourself Ted, easy to forget what you were getting 12 months ago. I’m in a lucky position so have lots of cash to play around with, i'm trying to catch the tip of the waves every few months or so. Good fortune on your journey.

t1redmonkey

Ted_01 said:

I thought I was pretty clever locking in at the peak last November, a 3yr Vanquis at 5% (£80k), and a 5yr Close Brothers at 5.05% (£25k). Not looking so good now. My worse fix is a 2 year Shawbrook at 4.75% (£40k), again opened last November. I never imagined rates would shoot back up again after the peak.

I am sitting on my hands too, partly because I have to, some money is locked in a 1 year fix - maturing at the end of the year, but also because I'm betting on rates continuing upwards too, and this time I'd rather miss the peak on the down-slope, than miss the peak on the up-slope, if that makes sense.

So today I opened a 6 month fix with Allica Bank 4.61% and locked away my remaining cash, so I'm commited to waiting till the end of the year before doing any more fixes.

I also did similar, but don't forget, we've been getting those 5%+ rates since last year, the alternative would've been to sit in easy access which at the time, was less than 3%, and then wait another 6 months or so for fixed rates to surpass that again (which of course was impossible to predict anyhow).

gesdt50

Vanquis just around 2 weeks ago had their rate for a 1yr fixed for about 4.95% , having finally got some funds into the account after their tricky ways, they are showing a rate  of 4.84%

JGB1955

gesdt50 said:

Vanquis just around 2 weeks ago had their rate for a 1yr fixed for about 4.95% , having finally got some funds into the account after their tricky ways, they are showing a rate  of 4.84%

4.84% is the monthly equivalent of 4.95% annual - did you opt for monthly interest?