Nominate the worst saving account

KeithEssex_2

Meltdown wrote: »

The problem is that many (often elderly) people think it still is - it was advertised as one when "Arfur Daley" was on TV ...
When Halifax decided to start reducing its rates relative to other accounts, there can surely have been only one reason - to fleece those who (for whatever reason) were not keen on changing accounts. It's policies like this that get banks a bad name.

You're right that many elderly people prefer a passbook account and get ripped off with an appalling interest rate. I really hate any company that can treat it's vulnerable customers in this way. :mad:

Kavanne

Natwest.

first reserve.

1.54%

Pendle_Gazza

Jonbvn wrote: »

Firstly. PB's are EXACTLY like the lottery, except you are gambling with only the interest not the capital.

Erm, so they ARE NOT exactly the same then!

EalingSaver

Jonbvn wrote: »

How about Premium Bonds? Theoretical possibility of 3.8% but may get nothing? Even worse, everyone and his dog has PB's, and they are by far the largest savings vehicle in the UK.

No doubt I will now be gainsayed by all the PB lovers on the forum!

I think it is a bit silly to knock PBs too hard. Like any product they can have a role to play in a mixed investment portfolio. But you need to understand what it is you are getting. Like anything else. I only recently took out some PBs, and I carefully weighed it up before doing so. It was part of a strategy to spread my money around. As a higher rate tax payer of course the 'rates' (quotation marks deliverate) are slightly more attractive than if I was basic rate.

I've also taken the trouble to work out what return I should reasonably expect and to monitor what I'm actually getting. I based 'expected' on the lower prize bands only (89% of the total payouts) to exclude the statistically improbable payouts, and at the current 3.4% payout level that means equivalent taxed savings rate of about 5%. Which of course is not great (poor in fact) - but if you need to spread and reckon worth it for potential of getting a bit more then worth a go. Your post prompted me to go check latest draw. Thanks - with Junes 'prizes' over the 3 months I've held so far I've got a return roughly equivalent to a 7.78% taxed savings rate. Of course its just statistics, but at least I'm currently ahead of what I expected, and nothing next month would still me running at 5.8%

superstar_2

mikegahan wrote: »

I had just put some money into a PO instant saver and was worried about what the previous poster had said about an Indian call centre. However when I phoned it was a UK call centre and the account is supposed to be run by the Bank Of Ireland on behalf of the PO. The operator did not have access to my six digit number, the system reveals 3 digits to him & you have to confirm them.However the terms are good for an instant saving account. And don't forget you can operate it via the PO, telephone or onlune, withdraw cash via ATM . This is a lot of flexibility and a
good rate of interest for an instant account.

I am looking at that when the current bonus for Halifax with cash card option expires on 18th July.

~Chameleon~

Primrose wrote: »

Well, I know they don't pay the lowest interest rates but I'd like to nominate ING because they have duped so many savers by their adverts and then not delivered. Unfortunately for them, all their savvy customers have now deserted.

Oh dear, obviously I'm not as savvy as I thought then as I recently opened an acc with them :rotfl:

skoolmaster

Nova Plus ... hardly cosmic returns ...

~Chameleon~

Lloyds have some of the worst interest rates across their entire savings range at the moment, but this one beats them all to say it's supposed to be a "Reward" account :rotfl:

AER % with 6mth bonus incl:

£25,000+ 2.95
£10,000+ 2.45
£2,500+ 2.20
£500+ 1.95
£1+ 0.10

AER % without bonus:

£25,000+ 2.70
£10,000+ 2.20
£2,500 + 1.95
£500+ 1.70
£1+ 0.10

And if you make more than two withdrawals the rates start falling even further!!!

http://www.lloydstsb.com/rates_and_charges/savings/reward_saver.asp

Oblivion

Oblivion wrote: »

I think you're right. Unlike most savings, the premium bonds carry two entertainment factors ... 1) the thought that you might just get lucky and win that elusive Million star prize (fat chance) ... and 2) the fun of being able to go online at the NS&I website to see if you've won anything at all this month.

My parents each went for the maximum allowable holding in premium bonds and the return throughout their lifetime was abysmal. I'm not making the same mistake, although the wife and I do have a few ... just for the fun factor.

Dave.

Ooh, and I just have won another £50 in the June draw. All the fun of the fair. That'll pay for a few more cigars and a couple of bottles of champers. :dance:

Dave

[Deleted User]

The absolute worst is probably NatWest's diamond reserve. You receive 0.08% interest on balances up to £24999 and have to give 30 days notice for withdrawals!

http://www.natwest.com/personal/save-and-invest/savings-accounts/g1/savings-rates.ashx