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  • FIRST POST
    • rb10
    • By rb10 1st Mar 13, 7:17 AM
    • 6,304Posts
    • 3,827Thanks
    rb10
    Nationwide FlexDirect - 5% interest, free overdraft
    • #1
    • 1st Mar 13, 7:17 AM
    Nationwide FlexDirect - 5% interest, free overdraft 1st Mar 13 at 7:17 AM
    It looks as though Nationwide have increased the rate on their FlexDirect account.

    It's now showing as 5% interest (fixed) for 12 months (on balances up to 2500) and a 12-month free overdraft.

    It should be noted that there are some restrictions on what you can do in branch - basically anything that can be done using self-service (ATM/internet/phone) needs to be done that way.

    http://www.nationwide.co.uk/current_account/flexdirect/default.htm

    --------------------

    Official MSE insert: We've now published a news story on this....

    "This makes the Nationwide FlexDirect account one of the top current accounts on the market, but it can be beaten..."

    Read the full story:

    Lloyds' PPI mis-selling bill climbs to 6.8 billion



    Click reply below to discuss. If you haven’t already, join the forum to reply. If you aren’t sure how it all works, read our New to Forum? Intro Guide.

    Last edited by Former MSE Darryl; 01-03-2013 at 11:29 AM. Reason: Adding MSE News story link
Page 1
    • plunt
    • By plunt 1st Mar 13, 7:47 AM
    • 506 Posts
    • 203 Thanks
    plunt
    • #2
    • 1st Mar 13, 7:47 AM
    • #2
    • 1st Mar 13, 7:47 AM
    awesome! thanks!

    question is... can we have more than one of these
    • apt
    • By apt 1st Mar 13, 8:19 AM
    • 3,089 Posts
    • 1,754 Thanks
    apt
    • #3
    • 1st Mar 13, 8:19 AM
    • #3
    • 1st Mar 13, 8:19 AM
    Every little helps, but it's a maximum of 100 interest for a basic rate taxpayer before reverting to 1%.
    • Hominu
    • By Hominu 1st Mar 13, 8:23 AM
    • 1,651 Posts
    • 868 Thanks
    Hominu
    • #4
    • 1st Mar 13, 8:23 AM
    • #4
    • 1st Mar 13, 8:23 AM
    So it's basically a 100 incentive (after basic rate tax) to open the account and then hardly any benefits.

    So upgrade, keep it for 12 months, then downgrade, assuming you don't want the travel insurance (which I'd say was worth less than 100).

    Or as normally stated on here: Diarise, then ditch and switch after 12 months.
  • BugsyBrowne
    • #5
    • 1st Mar 13, 8:35 AM
    • #5
    • 1st Mar 13, 8:35 AM
    Just a pity my lloyds overdraft wasn't 0% for 12 months as I would've slung that across.
    • plunt
    • By plunt 1st Mar 13, 8:40 AM
    • 506 Posts
    • 203 Thanks
    plunt
    • #6
    • 1st Mar 13, 8:40 AM
    • #6
    • 1st Mar 13, 8:40 AM
    been told you can open as many as you would like but you will undergo credit checks each time. So it is a trade off!

    My recommendation... open a couple and then switch any flex accounts you currently have to flexdirect accounts

    after 12 months downgrade them all!


    PS: they will match any flexaccount overdraft if you upgrade to a flex direct (according to the woman on the phone)
  • innovate
    • #7
    • 1st Mar 13, 9:02 AM
    • #7
    • 1st Mar 13, 9:02 AM
    Good stuff, thanks RB10! Opened a couple, got the account numbers instantly but seems you have to wait a day or so before they show online.
    • DreamerV
    • By DreamerV 1st Mar 13, 9:19 AM
    • 806 Posts
    • 796 Thanks
    DreamerV
    • #8
    • 1st Mar 13, 9:19 AM
    • #8
    • 1st Mar 13, 9:19 AM
    I upgraded my flex account, but it says it will go ahead on 23rd March. Bit of a wait. The date is fine though - my first direct 8% reg saver matures 22nd March and should be available (with interest) for me to move across 23rd (will transfer the excess elsewhere).

    Does anyone know when upgrading, if another R85 would be needed? (I'm a non-taxpayer). I'm hoping it would be (i.e. that it will revert to taxable status) as I become a taxpayer from 6th April 2013 anyhow.
    • grumbler
    • By grumbler 1st Mar 13, 9:20 AM
    • 51,801 Posts
    • 21,973 Thanks
    grumbler
    • #9
    • 1st Mar 13, 9:20 AM
    • #9
    • 1st Mar 13, 9:20 AM
    I had a second Flex account that I decided to upgrade instead of opening a new account.
    They seem to be working rally hard there in Nationwide:
    Your upgrade has been set for the weekend of 23 March 2013.
    ETA: just saw the post above. Amazing coincidence, especially timing.
    We are born naked, wet and hungry...Then things get worse.

    .withdrawal, NOT withdrawel ..bear with me, NOT bare with me
    .definitely, NOT definately ......separate, NOT seperate
    should have, NOT should of
    .....guaranteed, NOT guarenteed
    • DreamerV
    • By DreamerV 1st Mar 13, 11:34 AM
    • 806 Posts
    • 796 Thanks
    DreamerV
    Presumably the Flexclusive products (Reg Saver and ISA) aren't affected by a change from FlexAccount to FlexDirect. I note that some of the promotional items coming with the FlexAccount will stop (e.g. travel insurance) but I assume the right to the other Flexclusive products already set up will continue.
  • BugsyBrowne
    Presumably the Flexclusive products (Reg Saver and ISA) aren't affected by a change from FlexAccount to FlexDirect. I note that some of the promotional items coming with the FlexAccount will stop (e.g. travel insurance) but I assume the right to the other Flexclusive products already set up will continue.
    Originally posted by DreamerV
    Aslong as you pay in 1k a month.
    • plunt
    • By plunt 1st Mar 13, 11:59 AM
    • 506 Posts
    • 203 Thanks
    plunt
    you raise a very good point that i did not consider! probably worth keeping a flexaccount in case of any new accounts that get released!

    as for flexdirect accounts, just managed to open 3 . will give it a little break now before i open some more

    regards

    P
    • DreamerV
    • By DreamerV 1st Mar 13, 12:08 PM
    • 806 Posts
    • 796 Thanks
    DreamerV
    as for flexdirect accounts, just managed to open 3 . will give it a little break now before i open some more

    regards

    P
    Originally posted by plunt
    I'm surprised they've not put a cap on how many each customer can open but if I had spare cash sitting around to keep in each account, I would too. It's not much bother/time for what you can get out of it. And of course, I should have just left my FlexAccount open and opened a separate FlexDirect, that way retaining my travel insurance. Doh! (I know I can just cancel and do just that - they say I can cancel within 21 days. Prob won't bother as I usually need worldwide anyhow).
    • veryintrigued
    • By veryintrigued 1st Mar 13, 12:11 PM
    • 2,824 Posts
    • 2,399 Thanks
    veryintrigued
    Can this be opened in parrallel with an existing Flexaccount (i.e. without upgrading?)
    • grumbler
    • By grumbler 1st Mar 13, 12:13 PM
    • 51,801 Posts
    • 21,973 Thanks
    grumbler
    Yes, if you log in, there are two options: 'upgrade' and 'new'
    We are born naked, wet and hungry...Then things get worse.

    .withdrawal, NOT withdrawel ..bear with me, NOT bare with me
    .definitely, NOT definately ......separate, NOT seperate
    should have, NOT should of
    .....guaranteed, NOT guarenteed
    • ctdctd
    • By ctdctd 1st Mar 13, 12:15 PM
    • 925 Posts
    • 768 Thanks
    ctdctd
    as for flexdirect accounts, just managed to open 3 . will give it a little break now before i open some more
    Originally posted by plunt
    Don't get your hopes up - they may only allow one account to have bonus interest.

    From the T&C's here :-

    "1.5
    You will only be entitled to one introductory rate or offer (where applicable) on a Nationwide Group current
    account product. If you have previously held the same Nationwide current account product in the last 12
    months, you will not be entitled to the introductory rate or offer under this agreement."
    Do Money Saving sites make you buy more bargains - and spend more money?
    • plunt
    • By plunt 1st Mar 13, 12:26 PM
    • 506 Posts
    • 203 Thanks
    plunt
    hmmm alright, guess i will have to challenge it then if it comes down to it. As on the phone I asked if i could open multiple accounts while getting 5% and they agreed. We shall see though! (wouldnt be the first time nationwide has changed rules due to public demand!)

    I did the same thing with santander accounts when they had their 5% accounts, opened 6 or 7 of them in one go. Loved that!

    Plan is to have standing orders from each of my lloyds 4% account to them and vice versa all automated! and with the ability to get 4.29% instant access essentially!
    • elantan
    • By elantan 1st Mar 13, 12:51 PM
    • 20,008 Posts
    • 53,583 Thanks
    elantan
    i am so glad this thread was started, i got my letter through today and had a wee question to ask ( if i may)

    my isa ( which i have literally just changed to from a 0.25% interest rate) is sitting at 2% now but i think i have worked out that the flex direct is 3.912% after tax, i dont have much in savings at all 1880 which i havnt transferred this into my i.s.a yet as i literally opened it up the other day,

    do i have it right that if i were to transfer my savings into this account i would be getting a better rate of interest? i am thinking i could always transfer it into the i.s.a at the end of the financial year, thus still having the tax free benefits for years to come?

    i am wondering if i can keep this flexaccount sitting at 2500 per month i will get the max interest for the year, and i think using this 1880 would be a good way of making that happen

    does this make sense?
    march 2011-july2019 8 years and 4 months ... or 100 months and counting
    "what would you do if you knew you couldn't fail.... enjoy the adventure" " to my own self be true"
    • grumbler
    • By grumbler 1st Mar 13, 12:57 PM
    • 51,801 Posts
    • 21,973 Thanks
    grumbler
    do i have it right that if i were to transfer my savings into this account i would be getting a better rate of interest?
    Originally posted by elantan
    Yes.

    i am thinking i could always transfer it back out at the end of the financial year?
    Yes, provided that your total transfers into ISA during the year remain below 5640

    However, 5% after basic tax is 4.2% 4% , not 3.9%.
    For 1880 balance 1-month difference in the interest between 2% and 4% is just 3.35 3.05.
    Last edited by grumbler; 01-03-2013 at 1:29 PM.
    We are born naked, wet and hungry...Then things get worse.

    .withdrawal, NOT withdrawel ..bear with me, NOT bare with me
    .definitely, NOT definately ......separate, NOT seperate
    should have, NOT should of
    .....guaranteed, NOT guarenteed
    • elantan
    • By elantan 1st Mar 13, 1:02 PM
    • 20,008 Posts
    • 53,583 Thanks
    elantan
    They most certainly will be (sadly) grumbler, i'm just really starting to get my head around savings etc so it will take me a while to have anything of any significance, but if i can keep on top of it ( will offers like this) it will make it easier to build up, my additional borrowning is at 3.29% will need to add the tax relief to this and figure out if i am better off keeping the extra payments i plan to make in the flex current account or to pay off the additional borrowing now

    edited to add: just worked out ( although i may be wrong) the additional borrowing would be 3.948% so a difference of 0.036% and i really want to work on our savings so i think the 0.036% is worth the price to have some savings
    Last edited by elantan; 01-03-2013 at 1:06 PM.
    march 2011-july2019 8 years and 4 months ... or 100 months and counting
    "what would you do if you knew you couldn't fail.... enjoy the adventure" " to my own self be true"
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