Santander Easy Access Limited Edition

saverbynature

35har1old said:

Virgin has just sent a reminder that
they are decreasing the interest  paid on savings account linked to the current account it was never a great rate but the reduction is 1.05%
Can't remember being informed before. 
New rate applies from 19/03

@35har1old I had an email from Virgin on January 11th notifying the Virgin M Plus Saver interest rate was  decreasing on March 19th but strangely haven't had the reminder that you've had!

callum9999

WillPS said:

callum9999 said:

WillPS said:

I think putting the interest down a whole % point on limited issue, 12 month fixed term, account is a bad look for Santander, especially since the base rate hasn't shifted at all since it was launched and when it does it's highly unlikely to come down by anything like as much.

I accept totally it's their right to do this but I'm not full of gratitude that they've done it, extra notice or otherwise.

Why do you think the base rate is relevant?

Santander evidently don't need as much money as they're currently paying out 5.2% interest on so are reducing it - the base rate could be 100% and it wouldn't make a difference (aside from the economy crash obviously!) - if they don't need it, they don't need it. You'd presumably do the same in reverse (i.e. you're paying out interest on an overdraft while you have excessive amounts of money in your savings account)?

Your suggestion that they just put the excess in a BOE account and pass on the interest doesn't seem particularly logical when they're likely going to drop below 5.2% in the near future.

Seems incredibly poor planning to swamp the market with an eyecatching offer on a short 12 month term and then find themselves 6 months in to it having bitten off more than they could chew. 

There were other levers available than to notch down a full % point. They're absolutely entitled to do what they've done - my point is merely that it's a bad look; Santander will have captured a lot of new business with this offer and you can only imagine a good amount of them will be thinking along similar lines with this.

But that's not what they did... They varied the rate of their variable rate savings account.

Yes, but they decided that this was the best one. I assume you aren't claiming you know better than them, despite having absolutely no idea what the data driving this decision was? 

People moan about anything and everything. Do you take think Santander are oblivious to the idea that people prefer higher savings rates? They'll be well aware that some people will leave/remove money. 

jungleboy123

I just got my letter today saying its going down to 4.2% - based on other comments here with other savings i think it indicates that all the bank rates will be dropping soon...

I think i may need to fix!

mebu60

jungleboy123 said:

I just got my letter today saying its going down to 4.2% - based on other comments here with other savings i think it indicates that all the bank rates will be dropping soon...

I think i may need to fix!

I've just dropped a wodge into HTB 1 Year at 5.17% (from a 5.15% EA). 

jaceyboy

Weird I have not had anything through, but will take action ready for May

RoystonV

When would interest accrued (since depositing in Sep 2023) be paid if we reinvest elsewhere ahead of the anniversary? Would we need to leave the account open, albeit with a ‘nil’ balance?

Bridlington1

RoystonV said:

When would interest accrued (since depositing in Sep 2023) be paid if we reinvest elsewhere ahead of the anniversary? Would we need to leave the account open, albeit with a ‘nil’ balance?

They'll pay interest on the anniversary of the account opening or when you close the account, whichever is sooner. You don't need to leave the account open, you can close it without penalty if you wish.

WillPS

callum9999 said:

WillPS said:

callum9999 said:

WillPS said:

I think putting the interest down a whole % point on limited issue, 12 month fixed term, account is a bad look for Santander, especially since the base rate hasn't shifted at all since it was launched and when it does it's highly unlikely to come down by anything like as much.

I accept totally it's their right to do this but I'm not full of gratitude that they've done it, extra notice or otherwise.

Why do you think the base rate is relevant?

Santander evidently don't need as much money as they're currently paying out 5.2% interest on so are reducing it - the base rate could be 100% and it wouldn't make a difference (aside from the economy crash obviously!) - if they don't need it, they don't need it. You'd presumably do the same in reverse (i.e. you're paying out interest on an overdraft while you have excessive amounts of money in your savings account)?

Your suggestion that they just put the excess in a BOE account and pass on the interest doesn't seem particularly logical when they're likely going to drop below 5.2% in the near future.

Seems incredibly poor planning to swamp the market with an eyecatching offer on a short 12 month term and then find themselves 6 months in to it having bitten off more than they could chew. 

There were other levers available than to notch down a full % point. They're absolutely entitled to do what they've done - my point is merely that it's a bad look; Santander will have captured a lot of new business with this offer and you can only imagine a good amount of them will be thinking along similar lines with this.

But that's not what they did... They varied the rate of their variable rate savings account.

Yes, but they decided that this was the best one. I assume you aren't claiming you know better than them, despite having absolutely no idea what the data driving this decision was? 

People moan about anything and everything. Do you take think Santander are oblivious to the idea that people prefer higher savings rates? They'll be well aware that some people will leave/remove money. 

Not moaning. I will continue to use Santander's services, which I do well out of. Just disagreeing with others filled with gratitude for 13 days more notice than they contractually committed to and additionally commenting in my opinion it's a bad look to 'outdrop' the BoE base rate on a 12 month fixed saver.

It's OK if we have a different opinion, the thread will contain both views

BooJewels

WillPS said:

callum9999 said:

WillPS said:

callum9999 said:

WillPS said:

I think putting the interest down a whole % point on limited issue, 12 month fixed term, account is a bad look for Santander, especially since the base rate hasn't shifted at all since it was launched and when it does it's highly unlikely to come down by anything like as much.

I accept totally it's their right to do this but I'm not full of gratitude that they've done it, extra notice or otherwise.

Why do you think the base rate is relevant?

Santander evidently don't need as much money as they're currently paying out 5.2% interest on so are reducing it - the base rate could be 100% and it wouldn't make a difference (aside from the economy crash obviously!) - if they don't need it, they don't need it. You'd presumably do the same in reverse (i.e. you're paying out interest on an overdraft while you have excessive amounts of money in your savings account)?

Your suggestion that they just put the excess in a BOE account and pass on the interest doesn't seem particularly logical when they're likely going to drop below 5.2% in the near future.

Seems incredibly poor planning to swamp the market with an eyecatching offer on a short 12 month term and then find themselves 6 months in to it having bitten off more than they could chew. 

There were other levers available than to notch down a full % point. They're absolutely entitled to do what they've done - my point is merely that it's a bad look; Santander will have captured a lot of new business with this offer and you can only imagine a good amount of them will be thinking along similar lines with this.

But that's not what they did... They varied the rate of their variable rate savings account.

Yes, but they decided that this was the best one. I assume you aren't claiming you know better than them, despite having absolutely no idea what the data driving this decision was? 

People moan about anything and everything. Do you take think Santander are oblivious to the idea that people prefer higher savings rates? They'll be well aware that some people will leave/remove money. 

Not moaning. I will continue to use Santander's services, which I do well out of. Just disagreeing with others filled with gratitude for 13 days more notice than they contractually committed to and additionally commenting in my opinion it's a bad look to 'outdrop' the BoE base rate on a 12 month fixed saver.

It's OK if we have a different opinion, the thread will contain both views

But it's not a 'fixed saver' and is clearly labelled as having a variable rate of interest.  The name of the account is Easy Access Saver Limited Edition (Issue 3) and the 'term' of the account is for 12 months, at which time it will revert to an Everyday Saver.  People may well remove their money, as @callum9999 suggested - maybe that's what Santander actually need, if they're holding too much on deposit for their current lending needs.

I wouldn't say I was 'filled with gratitude' but Santander are operating the account well within their published terms.  Maybe you're feeling unhappy about it because you misunderstood what those were.

callum9999

WillPS said:

callum9999 said:

WillPS said:

callum9999 said:

WillPS said:

I think putting the interest down a whole % point on limited issue, 12 month fixed term, account is a bad look for Santander, especially since the base rate hasn't shifted at all since it was launched and when it does it's highly unlikely to come down by anything like as much.

I accept totally it's their right to do this but I'm not full of gratitude that they've done it, extra notice or otherwise.

Why do you think the base rate is relevant?

Santander evidently don't need as much money as they're currently paying out 5.2% interest on so are reducing it - the base rate could be 100% and it wouldn't make a difference (aside from the economy crash obviously!) - if they don't need it, they don't need it. You'd presumably do the same in reverse (i.e. you're paying out interest on an overdraft while you have excessive amounts of money in your savings account)?

Your suggestion that they just put the excess in a BOE account and pass on the interest doesn't seem particularly logical when they're likely going to drop below 5.2% in the near future.

Seems incredibly poor planning to swamp the market with an eyecatching offer on a short 12 month term and then find themselves 6 months in to it having bitten off more than they could chew. 

There were other levers available than to notch down a full % point. They're absolutely entitled to do what they've done - my point is merely that it's a bad look; Santander will have captured a lot of new business with this offer and you can only imagine a good amount of them will be thinking along similar lines with this.

But that's not what they did... They varied the rate of their variable rate savings account.

Yes, but they decided that this was the best one. I assume you aren't claiming you know better than them, despite having absolutely no idea what the data driving this decision was? 

People moan about anything and everything. Do you take think Santander are oblivious to the idea that people prefer higher savings rates? They'll be well aware that some people will leave/remove money. 

Not moaning. I will continue to use Santander's services, which I do well out of. Just disagreeing with others filled with gratitude for 13 days more notice than they contractually committed to and additionally commenting in my opinion it's a bad look to 'outdrop' the BoE base rate on a 12 month fixed saver.

It's OK if we have a different opinion, the thread will contain both views

 I still disagree with that analysis but you're completely right, you're entitled to a different opinion.

If your point was simply "don't be full of gratitude for 13 days extra notice" then I'd completely agree with you! I'd even go one step further. Excluding extenuating circumstances, I wouldn't be full of any gratitude at all for anything they do given they're a profit driven company almost exclusively concerned about their bottom line.