Nationwide fixed ISA Missleading

forevergrey

forevergrey wrote: »

Having contacted head office, I'm now getting conflicting information. They are saying that the fixed rate is only guaranteed if in force at the date of the cheque from the previous provider.

Having relayed this back to the branch who told me it would be on receipt of forms, they insist they had an internal memo confirming their account but are going to check again.

Not sure where this leaves some of us at the moment!

For those that may be interested, the branch has now rang me back and rather shamefacedly admitted that telling me that the fixed rate would be honoured on receipt of forms and cheque was wrong.

It appears that the head office position as stated above is correct which leads us to the possibility of thousands of people being on different rates having applied for the same fixed rate, if Nationwide decide to pull it.

Milarky

The direct number for the ISAs department at Nationwide is 01793 576757. It's better to use that than go through 0800 302010

Dan29

forevergrey wrote: »

For those that may be interested, the branch has now rang me back and rather shamefacedly admitted that telling me that the fixed rate would be honoured on receipt of forms and cheque was wrong.

It appears that the head office position as stated above is correct which leads us to the possibility of thousands of people being on different rates having applied for the same fixed rate, if Nationwide decide to pull it.

What does this mean (if the rate drops) for people who've applied enclosing a cheque and a transfer form?

bristolleedsfan

Dan29 wrote: »

What does this mean (if the rate drops) for people who've applied enclosing a cheque and a transfer form?

Transfer in ISA Fixed Rate account only gets opened when the funds have been received, so those who wanted to both transfer an ISA in and deposit funds in for new tax year should have completed two Fixed Rate application forms, one for the transfer in ( which would get opened when the transfer funds have been received) and one application for 2008/09 ISA funds which would get backdated to date of cheque application.

bristolleedsfan

forevergrey wrote: »

It appears that the head office position as stated above is correct which leads us to the possibility of thousands of people being on different rates having applied for the same fixed rate, if Nationwide decide to pull it.

Which is what it says in the product guide, i fail to see why people believed that what was said in the product guide was wrong. :huh:

forevergrey

bristolleedsfan wrote: »

Which is what it says in the product guide, i fail to see why people believed that what was said in the product guide was wrong. :huh:

Well, let’s see. I visited the branch once to pick up an application form and again to return it. Each time I said to the same person that I wanted clarification of the clause in the product guide and each time she reassured me that they had received a memo stating that the fixed rate would be honoured on receipt of forms and cheque. Not ‘might be’ but ‘would be’. She also stated that she had sought advice because of other queries about this.

If you believe that I have been naïve in accepting that then clearly you have been proved right. I suspect that I am not the only one.

sparky.shark

Just been to NW opened up my 08/09 fixed bond for 2 years at 6.15% before the rates change.

Though it looks like my transfer request done on Monday to NW will be effected by whatever lower interest rates damn!

Forgot to ask when they will likely change. Though to be fair this 6.15% has been round for some time!

bristolleedsfan

forevergrey wrote: »

If you believe that I have been naïve in accepting that then clearly you have been proved right. I suspect that I am not the only one.

When i was considering whether to transfer three ISA(s) to Nationwide Fixed Rate ISA, it never crossed my mind to ask for clarification of what it says in the brochure because in my mind the brochure was quite clear.

Being as Fixed Rate savings rates have more to do with the LIBOR rate than Base Rate todays Base Rate decrease by itself lacks relevance to both fixed rate savings/morgages.

As an example Nationwide have today announced increases to its fixed rate morgages, its 6.15% Fixed ISA rate has been in force since early July 2007 despite Base Rate movements both up and down since then so it shouldnt be assumed that a ISA Fix rate cut is imminent.

forevergrey

bristolleedsfan wrote: »

When i was considering whether to transfer three ISA(s) to Nationwide Fixed Rate ISA, it never crossed my mind to ask for clarification of what it says in the brochure because in my mind the brochure was quite clear.

Being as Fixed Rate savings rates have more to do with the LIBOR rate than Base Rate todays Base Rate decrease by itself lacks relevance to both fixed rate savings/morgages.

As an example Nationwide have today announced increases to its fixed rate morgages, its 6.15% Fixed ISA rate has been in force since early July 2007 despite Base Rate movements both up and down since then so it shouldnt be assumed that a ISA Fix rate cut is imminent.

It’s a pity then that what it says in the brochure wasn’t as clear to Nationwide employees as it was to you.

I hope you’re right regarding the LIBOR comment, but a cynical part of me thinks that a base rate drop provides a convenient excuse to reduce fixed rates.

bristolleedsfan

forevergrey wrote: »

It’s a pity then that what it says in the brochure wasn’t as clear to Nationwide employees as it was to you.

I hope you’re right regarding the LIBOR comment, but a cynical part of me thinks that a base rate drop provides a convenient excuse to reduce fixed rates.

As ive pointed out in other threads where branches dont administer ISA(s) they cant be relied upon to give correct answers.

6.15% ISA Fixed Rate hasnt changed following last two base rate decreases so best to chill IMO. :beer:


http://www.nationwide.co.uk/pdf/savings/P115_ISAs.pdf

You can transfer cash ISA funds from another provider to any of our cash ISAs. However, please bear in mind that if you opt for our Fixed Rate ISA Bond its rate may have changed by the time we receive the funds.
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