abbey drops postal ISA rate to 4.9% from 1st sept

Gambler

dawny10 wrote:

Has anyone had a letter from Abbey telling them about the interest rate change? I thought they were meant to inform you within 30 days but I haven't heard anything......

I've not heard anything either

YorkshireBoy

dawny10 wrote:

Has anyone had a letter from Abbey telling them about the interest rate change? I thought they were meant to inform you within 30 days but I haven't heard anything......

Abbey T&C's...

http://www.abbey.com/index/future/taxeff_index/savings_isas_index/savings_isas_posta_isa/savings_isas_posta_isa_t-and-c.htm

"7 Changing the charges or interest rates

7.1 If we introduce a new day to day charge, we will tell you personally at least 30 days before the change takes effect. Otherwise if we change our interest rates we will tell you within 30 days of any change."

Anon

If you check, they notified us on the statement in September that they had changed the rate.

If you note, they notify you within 30 days - ie up to 30 days after the change has taken effect so you may have already spent up to 30 days on the lower (or higher) rate before you find out. It shows that you have to keep checking after any interest rate changes as you can then quickly make decisions on whether to stay or go (that said, not all providers change on the same day so frying pan and fire could be the scenario!).

I think it is rather cheeky how most are cutting more than the .25% rate BoE rate cut off the interest rates - savers hit yet again!

Anon

MiserlyMartin

Does anybody know if the Postal ISA issue 1 is still paying 4.9%? I checked the Abbey website and there is no mention of interest rates for discontinued accounts such as the Postal ISA issue 1.

Anyone?

Anon

Yes - still paying 4.9% according to their website:
http://www.abbey.com/index/future/taxeff_index/savings_isas_index/savings_isas_posta_isa/savings_isas_posta_isa_rates.htm

A&L seems to be the best instant access rate now at 5.2%:
http://www.alliance-leicester.co.uk/savings/index.asp?page=direct-isa&ct=flashterdisamar06test

Anon

MiserlyMartin

Thanks. Now why couldn't I find that page with issue 1 on it.

Yes A&L looking attractive whilst paying the bonus. Though aftrer that runs out I suspect it will be a mass exodus.

Didn't like the instructions to transfer:
"How can I transfer my Direct ISA funds to an ISA with another provider?
If you want to transfer your Direct ISA funds to another ISA provider, please follow these steps:

Step 1: Call 08703 333 444 (calls are charged at the national rate)
Step 2: Press 2 for Savings
Step 3: Select Direct ISA
Step 4: Enter your 12 digit Customer ID and 5 digit customer PIN
Step 5: Press 9 to speak to an advisor (advisors are available between 9am and 8pm Monday to Friday and between 9am and 1pm on Saturday)

The advisor can then take the details of your new provider and the amount you wish to transfer. The transfer will be completed within a maximum of 30 days or within a timescale specified by you, as long as this is not less than 14 days."

Urgh. 0870 number and menus!. I take it we will still be able to fill in a form from the new provider, to send to A&L and it will transfer that way?

Saying that I did just that trying to transfer from Coventry BS to Abbey. Abbey said they sent 3 letters. That was last year and the money still hasn't moved!