'Save an extra pound in Cahoot and you lose £7,000' blog discussion

This is the discussion to link on the back of Martin's 'Save an extra pound in Cahoot and you lose £7,000' blog. Please read the blog first, as this discussion follows it.
Click reply to discuss below.

Replies

  • RikkiRikki Forumite
    21.6K Posts
    ✭✭✭✭✭
    Interesting. :think:

    Sadly it doesn't affect me. :(
    £2 Coins Savings Club 2012 is £4 :).............................NCFC member No: 00005.........

    ......................................................................TCNC member No: 00008
    NPFM 21
  • Having been looking for an account to briefly store a large amount (though nothing like £1million) recently I was suprised how many accounts don't allow more than £250,000. As the money will only be stored for a couple of months (before going to Inland Revenue :( ) I have also noticed that a number of accounts don't pay interest for the month you remove the money.

    This reduced rate risk just adds to the list of things to look out for.

    I suppose I should also be considering the £35k compensation limit too - but the thought of opening 8 bank accounts just seems nuts!

    DB

    :xmassmile
  • harryhoundharryhound Forumite
    2.7K Posts
    ✭✭✭✭
    It is such a responsibility, perhaps you should risk opening a joint account with your partner?

    (Have we met a property investor who saw the credit crunch coming?)


    :j:beer::j
  • how sad for those poor people losing that interest. I wonder what sacrifices they will have to make as a consequence?
  • I have an account at Cahoot, and can tell you that these rates are an improvement on the previous arrangement.

    You can see previous rates if you can access
    https://www.cahoot.com/rates_fees/rates_fees-1.html

    However, that may be for customers only, so here is a copy of the relevant text:-

    Previous rates effective until 22nd July 2007
    Introductory rate Savings Account
    (available between 24 June 2004 and 1 September 2004)
    Account balance A.E.R. / Gross p.a.
    Up to £49,999
    5.50%
    £50,000 to £249,999 --- 5.00%
    £250,000 +
    4.95%

    That's right; the cut-off used to be £50,000!
    Wow, lots of space here!
  • [Deleted User][Deleted User] Forumite
    0 Posts
    Holiday Haggler
    MoneySaving Newbie
    Save £999,999 and you’ll earn £64,500 interest in a year
    Save £1,000,000 and you’ll earn £57,500 interest a year
    I hear the world's smallest violin playing for all those people with a million quid in the bank
  • MSE_MartinMSE_Martin MoneySaving Expert
    8.3K Posts
    ✭✭✭✭
    I hear the world's smallest violin playing for all those people with a million quid in the bank

    Ah yes but do remember there are rich moneysavers too - and good on them....

    Admittedly though my point was more about the ludicrous structure than the gross injustice :P
    Martin Lewis, Money Saving Expert.
    Please note, answers don't constitute financial advice, it is based on generalised journalistic research. Always ensure any decision is made with regards to your own individual circumstance.
    Don't miss out on urgent MoneySaving, get my weekly e-mail at www.moneysavingexpert.com/tips.
    Debt-Free Wannabee Official Nerd Club: (Honorary) Members number 000
  • poppy10_2poppy10_2 Forumite
    6.5K Posts
    Part of the Furniture 1,000 Posts Name Dropper
    ✭✭✭✭
    Yes, they've obviously done this to get into the best buy tables. Noone is going to have more than £500,000 in a Cahoot account, are they?
    poppy10
  • I have an account at Cahoot, and can tell you that these rates are an improvement on the previous arrangement.

    You can see previous rates if you can access
    https://www.cahoot.com/rates_fees/rates_fees-1.html

    However, that may be for customers only, so here is a copy of the relevant text:-

    Previous rates effective until 22nd July 2007
    Introductory rate Savings Account
    (available between 24 June 2004 and 1 September 2004)
    Account balance A.E.R. / Gross p.a.
    Up to £49,999
    5.50%
    £50,000 to £249,999 --- 5.00%
    £250,000 +
    4.95%

    That's right; the cut-off used to be £50,000!
    the introductory rate savings account is an old account cahoot used to offer, the account that has the market leading rate is a completely different account which existing (and new) customers can ask for. I can also confirm that for all those lucky people with £1,000,000+ that you can have upto 3 of the new accounts and can get the top rate by making sure that they have less than £1,000,000 in each of the accounts
  • MSE_Martin wrote: »
    Ah yes but do remember there are rich moneysavers too - and good on them....

    Admittedly though my point was more about the ludicrous structure than the gross injustice :P

    I wonder if it could possibly be a typo on Cahoot's website. Has there been any comment from them?
This discussion has been closed.
Latest MSE News and Guides

54 ways to ‘DIY it’

According to the MSE Forum

MSE Team Blog

£10 Christmas bonus

For benefits recipients

MSE News

Lidl '£10 off £40 spend' voucher

Via Metro or Daily Mail. Excludes NI

MSE Deals