charting interest rate rises – 1st Egg, 2nd Abbey

ED · 11 May 2004 at 1:55AM

5.00% (including bonus) offered by Egg, effective 19th May (from 4.75%), announced 7th May

4.60% (incl. bonus) via Abbey – eSaver a/c, effective 1st June (from 4.35%), announced 10th May

Anyone here discovered other rate increases for savings a/c's? We know management of numerous banks & building societies read MSE forums. Let's encourage them to be completely competitive – not 'arf!

sly_dog_jonah · 11 May 2004 at 2:22PM

M&S upped their Cash ISA on the 7th May - effective immeadiately - to 4.75% (from 4.5%). That was within 1 day of the BoE rise, and beats their gaurantee to increase within 5 working days. Well done M&S! Shame they've closed to new business.

Abbey's Postal Cash ISA changes to 4.85% on the 1st June (from 4.6%).

I'm waiting to see whether ING respond quickly, last time the BoE raised rates, ING increased their interest rate on the 1st of the next month.

ED · 13 May 2004 at 11:43AM

Leeds & Holbeck Bdg Soc = 1st to respond with a rate-rise announcement date, after I contacted the most competitive dozen or so bdg. societies & banks. On 22nd May (Saturday next week) Leeds & Holbeck aim to announce "the majority" of their accounts will "increase by 0.35% which is higher than the recent Bank of England increase."

The 5% a/c of Leeds & Holbeck (new, instant access postal a/c without bonus) was given by me as an example of a competitive rate when asking each other bdg soc & bank if they were going to increase the rate of a specific a/c (eg Britannia's monthly Regular Saver @ 4.25%, First Direct's Savings a/c @ 2.47%.

Anyone else here written to their bdg society, bank or other financial institution, urging a competitive boost to the interest rate? The more of us who do it, the more likely they are to play fair.

Jonah – good to know Marks & Spencer were so swift, but as you say sad the ISA is closed to new business.

ED · 13 May 2004 at 8:17PM

ING Direct are increasing their interest rate to 4.60% gross (4.70 AER) effective 1st June.

Leeds & Holbeck Bdg Society already pay 5% on their new, instant access postal a/c. Anyone here already opened one? If so, do you have feedback to share (eg any niggles in small-print, etc)?

ED · 14 May 2004 at 1:39PM

0.55% increase impending for some Abbey customers with eSaver a/c. Could Abbey be boosting the rate of existing customers to 4.40% gross (currently 3.85%), making a differential of only 0.20% (instead of 0.50%) compared with the bonus rate offered in 1st 6 months of newcomers having an eSaver? 4.60% gross is to be their new rate.

Abbey state on customers' My Home Page :

"Messages – Everyone with an eSaver account can smile as interest rates go up by between 0.25% gross p.a. and 0.55% gross p.a. on 1 June. Watch out for more information!"

4.40% gross for existing Abbey customers isn't as good as Coventry BS, Halifax plc or Norwich & Peterborough BS are likely to become soon (currently all 4.30% gross). But Abbey's eSaver is a convenient companion for the cheque a/c (sweeping £'s from savings to cheque a/c the day before DDs/SOs/outward cheque payments, even on Saturdays ready for Mondays).

Equally importantly, in my experience Abbey staff are trained much better than Halifax branch personnel. Glad to see Abbey becoming more competitive with their eSaver interest rate.

Mortgageman · 14 May 2004 at 2:45PM

L&C Easy Access 5.1% gross

http://www.moneysavingexpert.com/cgi-bin/yabb/YaBB.cgi?board=Referrers;action=display;num=1082501664

ED · 14 May 2004 at 8:19PM

Mortgage Man – good to know L&C are going to offer 5.10% gross. I see an L&C advert for the a/c now appears atop the MoneySupermarket website.

Leeds & Holbeck Bdg Soc appear to have withdrawn for new applications their 5% paying instant access postal a/c, precisely 7 days after launch. Proof, presumably, much cash is available in the UK population for investment in bdg soc, bank & similar a/c's.

isasmurf · 14 May 2004 at 10:15PM

IF are not passing on any of the rate increase to their customers.

So glad I don't bank with them.

ED · 17 May 2004 at 2:20PM

saver smurf – IF's decision is curious…

Leeds & Holbeck Bdg Soc Regular Saver a/c earns 5.05% gross effective 22nd May for up to £500 per month.

Noxid_2 · 17 May 2004 at 4:21PM

Halifaxs fixed rate accounts have gone up but none of their variable ones and not the 6% account.

I am really worried that Halifax wont put up other rates because IF is part of the Halifax ???

lisyloo · 17 May 2004 at 4:52PM

I am really worried that Halifax wont put up other rates because IF is part of the Halifax

Although they are part of the same group, I believe they are run completely independently.

Of course that doesn't mean that Halifax will put up rates.

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charting interest rate rises – 1st Egg, 2nd Abbey

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