Is MSE always the best comparison sites? I have £85 to put in a three fix but ...

35har1old

janusdesign said:

35har1old said:

ToastLady said:

Check https://savingschampion.co.uk/ and https://moneyfactscompare.co.uk/savings-accounts/

Personally I wouldn't put £85K into one bank, or bank group. As 35har1old says, you could lost the interest if the bank does go bust. If you are happy enough to do 2 years, you could get 6.01% at Oxbury with some of your stash, but you would have to open an easy access or notice account with them to get access to apply for the fixed saver. See link in post above P333 onwards.

I think the Oxbury offer has been withdrawn only showing easy excess and notice accounts at the moment 

as previously stated, you need to open (though not necessarily fund) an easy access or notice account - once you have done that, they you can login and access the offers only accessible to existing customers...I just checked and they are still both available to existing customers... though for how long, who knows.

Good to no that thanks

masonic

Albermarle said:

masonic said:

pw23 said:

also, as the FSCS only protect you for 85K am I right in thinking as long as I don't get paid the interest until maturity at the end of three years, my money would be fairly safe till then?

If you put £85k into a 3 year fix and the bank were to fail at any point during the 3 year period, you would lose all of your paid and accrued interest, which would otherwise have been covered.

You should also note that JN Bank credits interest annually, it does wait until maturity, but all three years interest would be taxable at maturity.

Is there a word missing from that sentence, as it does not seem to quite make sense?

Yes, I missed a not before "wait until maturity", now corrected.

pw23

I just went to fund the Oxbury 6.01% two-year bond, and when I went there, it wasn't there only a one-year bonds 5.2%

My naivete assumed you would still be available

On a different thread, someone said that interest and up to 10 K would be protected, in the event the bank went down, can anyone else confirm this please?

As if another, 6% two-year fix appears (is this very unlikely now?) I calculate that my 85K investment would generate £108 more than that protected 10k figure
obviously this is just conjecture.

eskbanker

pw23 said:

On a different thread, someone said that interest and up to 10 K would be protected, in the event the bank went down, can anyone else confirm this please?

As if another, 6% two-year fix appears (is this very unlikely now?) I calculate that my 85K investment would generate £108 more than that protected 10k figure
obviously this is just conjecture.

Sounds like a quote taken out of context or misunderstood - the total FSCS cover is a maximum of £85K per person per banking group, however that's made up of capital and interest, so it's usually recommended to leave enough headroom so that the interest doesn't take the final balance above the £85K.

refluxer

pw23 said:

I just went to fund the Oxbury 6.01% two-year bond, and when I went there, it wasn't there only a one-year bonds 5.2%

My naivete assumed you would still be available

Were you logged in as an existing customer ? If so, then you were probably looking at the 'Farm Savings Accounts' - you need to select 'Personal Savings Accounts' and the 6.01% 1 and 2 year fixed rate accounts are still listed.

If you're not an existing customer, then you'll need to open another account with them first - either their easy access account or one of their notice accounts. The 6.01% 1 and 2 year fixed rate accounts are still listed for me, although I didn't go as far as to click 'Apply now' to check that you can actually open one as I already have one of each.

pw23

refluxer said:

pw23 said:

I just went to fund the Oxbury 6.01% two-year bond, and when I went there, it wasn't there only a one-year bonds 5.2%

My naivete assumed you would still be available

Were you logged in as an existing customer ? If so, then you were probably looking at the 'Farm Savings Accounts' - you need to select 'Personal Savings Accounts' and the 6.01% 1 and 2 year fixed rate accounts are still listed.

If you're not an existing customer, then you'll need to open another account with them first - either their easy access account or one of their notice accounts. The 6.01% 1 and 2 year fixed rate accounts are still listed for me, although I didn't go as far as to click 'Apply now' to check that you can actually open one as I already have one of each.

Phew, that's a relief, you're right I was looking at the farm account and a two year 6.01% it's still available

I read a lot of people talking about half a lower than 6% interest rate savings, is this because they they have maxed out the holding with Oxbury or is there a more competitive deal on the missing?

pw23

eskbanker said:

Sounds like a quote taken out of context or misunderstood - the total FSCS cover is a maximum of £85K per person per banking group, however that's made up of capital and interest, so it's usually recommended to leave enough headroom so that the interest doesn't take the final balance above the £85K.

You're right, it was a misunderstanding by me

So does this sound correct?

If I invest 75K @ 6.01% I would gain after two years £9015
so would have atotal  investment  of £84,015
so as it's on under 85K, my money would be fully protected by the FSCS?

The next question would then be, how best to invest the remaining10k
hmm,, I have memories of when I used to be a retail investor, if I could manage the stress that comes with the stock market
what would be my next less risky option to the stock market?
But still with the better return, then a savings accoun/isa? If there is even anything.

ToastLady

Maybe some didn't see the earlier discussions on Oxbury, or they don't want to bother with opening an EA or notice account first. Who knows really? I've opened 1 and 2 year fixes with them. 

refluxer

Some savers prefer to stick with banks they're already customers of and not everyone would want to open a different type of account in order to access an existing-customer exclusive rate on another account It was a no-brainer for me though, as I'd been wanting to open a 90 day notice account anyway and Oxbury had one of the highest rates available. It's also possible that some will be close to their FSCS limit with Oxbury, as you say

I don't think those Oxbury rates will be around for much longer, so I'd.open one now if you want to secure the rate - you get 14 days to fund it.

AFAIK, there are currently no other fixed rate accounts (including existing customer accounts) paying 6%.

wmb194

pw23 said:

eskbanker said:

Sounds like a quote taken out of context or misunderstood - the total FSCS cover is a maximum of £85K per person per banking group, however that's made up of capital and interest, so it's usually recommended to leave enough headroom so that the interest doesn't take the final balance above the £85K.

You're right, it was a misunderstanding by me

So does this sound correct?

If I invest 75K @ 6.01% I would gain after two years £9015
so would have atotal  investment  of £84,015
so as it's on under 85K, my money would be fully protected by the FSCS?

The next question would then be, how best to invest the remaining10k
hmm,, I have memories of when I used to be a retail investor, if I could manage the stress that comes with the stock market
what would be my next less risky option to the stock market?
But still with the better return, then a savings accoun/isa? If there is even anything.

You could put the remaining £10k in a savings account with another bank or building society and that would be covered by the FSCS as well. Then £85k cover is per banking licence, not per person.