Principality Building Soc - Retrospective reduction in Interest Rate

jhdeano

On 30 May (yesterday) I received an e-mail from Principality Building Soc stating that with effect from 1 May the interest rate on my E-Saver account had been reduced to 5.75%!

While I fully understand that variable interest rates can and do go up and down, surely the Society cannot do it retrospectively? I have sent the Society an e-mail queering the retrospective change. I have also looked hard at the Terms and Conditions and can find no reference to retrospective change.


Has anyone else had a similar e-mail, can anyone offer advice or comment?

Regards

baby_boomer

Hi and welcome to the site.

They can reduce it whenever they want and by whatever % they want.

But if they reduce it by 0.5% on top of the base rate they have to write to you.

They contacted you anyway even though they had no such obligation .

I'm not entirely sure what you mean by "retrospecitve reduction". The new rate applies to your balance in the future.

LittleVoice

It won't count as a retrospective change. If you had contacted them on 1 May, they could have told you the rate. It is just that they didn't go out of their way to tell you for almost a month!

Milarky

No, of course they can do it under the 'we-write-our-own Banking Code' you see. I got the same email yesterday and replied thusly:

Re: Important information about your e-SAVER
Thank you.

More helpful, however, if you don't wait until the last day of the month to tell me this....

......before I checked my own records - which showed I had already noted the reduction in rate from earlier checking their site.