Nationwide 60+ monthly interest

Milarky

There is a problem with how Nationwide works out the interest on this account. They work out a figure around the 23rd or 24th of each month and post that assuming the balance remains the same to the end of the month. (The amount is credited on the last day of the month) Thus any movements in or out of the account during the last seven days will result in either an underestimate or overestimate. This has adjustment in amount has to be carried forward to next month's calculation.

If a large enough withdrawal is made during the last seven days, therefore, the overpayment may be more than the following month's interest and none will be paid in that month (or the next) until it is recovered and monthly interest resumes. I spotted this in my mum's account where two months received no interest and a large withdrawal had occurred a day after the interest had been estimated.

MattB_4

Interesting one that! I'm going to copy and paste it into my email and look into it at work tomorrow. That would be the same on any monthly account I expect. Admittedly not an issue if you have a bond!