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juvenal

Savings Rates Going Down Further?

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Northern Rock tell me this morning their headline ISA one year bond won't be available after this Saturday.

Nationwide wrote to me yesterday to say they are similarly reducing rates.

What's going on?

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huh - I was transferring all my ISA's , paperwork ready to take to post office tomorrow & phoned them just now - this ISA is now closed. Closed at 2pm today!!! Not happy

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Take it out the ISA and put it into 1 year fixed rate bond for 4%

The ISA's rate are generally poor with the bank/BS effectively taking the tax relief. At least with taxed income some comes back to you indirectly.

ISA's are a big con IMO.

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Take it out the ISA and put it into 1 year fixed rate bond for 4%

The ISA's rate are generally poor with the bank/BS effectively taking the tax relief. At least with taxed income some comes back to you indirectly.

ISA's are a big con IMO.

Wow, financial genius.

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Take it out the ISA and put it into 1 year fixed rate bond for 4%

The ISA's rate are generally poor with the bank/BS effectively taking the tax relief. At least with taxed income some comes back to you indirectly.

ISA's are a big con IMO.

Ignorance is bliss :rolleyes:

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Nationwide wrote to me yesterday to say they are similarly reducing rates.

Savings rates going down; interest rates on new mortgages going up; BoE base rate staying the same.

Wil someone please explain what the hell's going on?

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Savings rates going down; interest rates on new mortgages going up; BoE base rate staying the same.

Wil someone please explain what the hell's going on?

thievery!

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Savings rates going down; interest rates on new mortgages going up; BoE base rate staying the same.

Wil someone please explain what the hell's going on?

More people are saving even with very low interest rates on savings. Read in Moneyweek yesterday that savings rate has gone upto 4.7% of GDP in UK, that's a lot of money. There is very little need to compete for savers money in this environment. Rates are so low across the board there is little incentive to move money around so the banks can just sit back and enjoy the increased savings rates without increasing interest rates to attract savers.

On the mortgage side - swap rates are up on expectation of future interest rate increases and this is directly being passed onto mortgage rates. Swap rates have increased dramatically in the last couple of weeks.

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Nationwide and Santander. Nice 4%+ options if NR don't want your money I am sure they do.

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Nationwide and Santander. Nice 4%+ options if NR don't want your money I am sure they do.

Where are these 4% deals, please? Link?

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Attempting to increase margins further?

Danger is people stop saving, that will help bank lending.

Yes - simply rate management. My missus is a cheese for one of the banks and is involved in this kind of chicanery. People are saving (or at least not spending their savings) irrespective of rates. Safety first and all that. What tends to happen is someone has a good rate out which attracts new savers then they manage it down hoping people don't notice. I used to be a banker myself and used to be marketing manager for one of the big guns for savings - you'd be surprised how much inertia is involved in banking (or maybe you wouldn't).

Most people arn't nearly as aware of rates and so on as the good folk who post on here.

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Savings rates going down; interest rates on new mortgages going up; BoE base rate staying the same.

Wil someone please explain what the hell's going on?

Savings rates are going up but some banks are trying to increase their margins by offering low rates.

It is our public duty to withdraw money from these banks until they treat savers fairly.

Rothchilds offering 4.35% on two year bond so anticipating rates going up.

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Attempting to increase margins further?

Danger is people stop saving, that will help bank lending.

yep, not sure why you have it in a bank, anymore. the rates are so low if you have a large sum and you lose your job and seek benefits your really screwed. so really your better of taking it out if you even smell a hint of being fired.

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yep, not sure why you have it in a bank, anymore. the rates are so low if you have a large sum and you lose your job and seek benefits your really screwed. so really your better of taking it out if you even smell a hint of being fired.

You'd need to convince them you don't still have it elsewhere. If a large sum of money were withdrawn from your account shortly before drawing benefits the onus would be on you to prove it's not squirreled away. A better bet might be to acquire over time portable small items of value and offer them to a pawnbroker as needed.

I'll bet the bugs on here can think of something which fits this description...

Edited by happy?

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I'll bet the bugs on here can think of something which fits this description...

Ivory.

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