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Ns&i Linkers To Relaunch

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what are the catches peeps?

They didnt withdraw them for our benefit and I doubt that they are being restored for our benefit either. Maybe they are expecting a bout of deflation or are about to frig with the rpi/cpi again.

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Great, and when they withdrew it was said they would stay at RPI. I have been struggling with maturities coming out so if they are the same I will be piling back in.

They may just be coming back because the government needs the money and somebody is actually believing the BoE inflation forecast.

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Great, and when they withdrew it was said they would stay at RPI. I have been struggling with maturities coming out so if they are the same I will be piling back in.

They may just be coming back because the government needs the money and somebody is actually believing the BoE inflation forecast.

read the analysis that I posted above, I wouldnt pile in, they are not coming back for your benefit.

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How crap are things when getting 1% in real terms on savings is considered an amazing return by (conventional) savers.

Meanwhile, credit card rates are 15%

Edited by exiges

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How crap are things when getting 1% in real terms on savings is considered an amazing return by (conventional) savers.

Meanwhile, credit card rates are 15%

Preaching to the choir, my arranged overdraft rate is something like 19.3%.

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Big announcement tomorrow ? 6th April

Nothing

isn't it just typical that budget tax increases on petrol cigs booze etc. seem to happen within milliseconds of the chancellor sitting down where things that are of benefit to the population take ages and sometimes forgotten.

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The new issues are going to be munched within a day of being announced. You mark my words</Fast Show SA woman>

Anyone interested had best have the cash available in their current account for the big day...

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The new issues are going to be munched within a day of being announced. You mark my words</Fast Show SA woman>

Anyone interested had best have the cash available in their current account for the big day...

Unless those who are saving for a house thing five years is too long or that RPI + 0.5% is too slight.

I'd've been very tempted by a three-year term and RPI + 1%.

I dunno -- some people are so fussy! ;)

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Unless those who are saving for a house thing five years is too long or that RPI + 0.5% is too slight.

I'm not sure but I think you can cash them in. I'm a bit confused by their T+Cs.. On one hand they say

Cancellation rights

38. As Savings Certificates are a fixed rate investment with a set term, there is no right to cancel after investment.

but then go on to say

48. Certificates purchased by cheque or debit card can only be cashed in after payment has cleared. However, in certain circumstances, we may allow Certificates purchased by debit card to be encashed before the payment has cleared. If so allowed, we will repay the sum requested to the debit card from which the payment was made. It will normally take seven banking days from the date of purchase for payments to clear. For example, if we receive a cheque on a Monday, the payment will be cleared on the Tuesday of the following week. One additional day should be allowed for each English bank holiday. The same clearance periods apply for debit card payments.

49. Certificates can be cashed in by completing a form (available from NS&I) and sending it to NS&I with your certificate of investment. Any index-linking and interest due on repayment will be in accordance with paragraphs 18 and 60.

50. Certificates cashed in before the maturity date can be reinvested in any Issue of National Savings Certificates (Fixed Interest or Index-linked) then on sale (subject to the relevant terms and conditions).

EDIT:

I think this answers my question.. you can cash them in at any time, but you lose up to a years interest.

60. No index-linking or interest will be earned in respect of a Certificate which is cashed in before the first anniversary date. Therefore the amount due will be the purchase price. This does not apply to Reinvestment Certificates (see paragraphs 65 and 66).
Edited by exiges

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Unless those who are saving for a house thing five years is too long or that RPI + 0.5% is too slight.

I'd've been very tempted by a three-year term and RPI + 1%.

I dunno -- some people are so fussy! ;)

The bonus amount seems to be pretty much worthless unless you hold for the full term:

Year	Bonus rate1	0.05%2	0.07%3	0.10%4	0.30%5	0.71%

edit, above seems to be old info. Correct figures:

5-year Index-linked Savings Certificates 48th Issue

Purchase price + index-linking for year 1+ 0.25% of purchase price = 1st anniversary value

1st anniversary value + index-linking for year 2 + 0.35% of 1st anniversary value = 2nd anniversary value

2nd anniversary value + index-linking for year 3 + 0.40% of 2nd anniversary value = 3rd anniversary value

3rd anniversary value + index-linking for year 4 + 0.65% of 3rd anniversary value = 4th anniversary value

4th anniversary value + index-linking for year 5 + 0.86% of 4th anniversary value = maturity value

Edited by Hara

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Yeah the way I read it was as long as you hold for at least a year, the most you can lose from withdrawing early after that point is a month's indexing and interest. But I need to go through the T&Cs properly.

I believe you are right re closing the account.

RPI + 0.5% over full term.

I think that it's more than we can get by putting it in a bank, plus it is tax free.

Got one this morning, took 1/2 hour to get through though - very busy :-)

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The moneybox chap Paul Lewis on BBC this morning said you can cash it in after 1 year once they have paid out, which doesn't seem bad if true.

I think he has his facts straight

60. No index-linking or interest will be earned in respect of a Certificate which is cashed in before the first anniversary date. Therefore the amount due will be the purchase price.

Which means you can cash in any time, but you won't make any money until after a year (so it wouldn't be worth doing if you did)

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Worth a punt. At least I have some protection vs hyper-inflation now.

Pitty they didn't come out before the ISA deadline.

why would you use up ISA allowance on them when they are already tax free?

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Unless those who are saving for a house thing five years is too long or that RPI + 0.5% is too slight.

I'd've been very tempted by a three-year term and RPI + 1%.

I dunno -- some people are so fussy! ;)

Wow these new ones are pretty crap. :D

Still, at current RPI, 5-6% is more than double what you'll get in the best instant access savings account after tax.

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Is my wife being cynical when she remarks that Merv quoted a possible 5% inflation the day before NSI relaunch the inflation linked bonds ? It did seem like he casual mentioned the 5% with little regard to the fact that this does indeed mean that he is failing recklessly in his job ? what else could his motivation be ?

I just need to understand what's going on before we go investing in this stuff... could it be that they think the little people are now a better (more naive) target for raising new money ? (my wifes comment ?).

Please tell me this is not how the BOE would operate !!

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Is my wife being cynical when she remarks that Merv quoted a possible 5% inflation the day before NSI relaunch the inflation linked bonds ? It did seem like he casual mentioned the 5% with little regard to the fact that this does indeed mean that he is failing recklessly in his job ? what else could his motivation be ?

I just need to understand what's going on before we go investing in this stuff... could it be that they think the little people are now a better (more naive) target for raising new money ? (my wifes comment ?).

Please tell me this is not how the BOE would operate !!

Well wives tend to be right often enough in my experience. Like when my wife suggested we buy Yen when the exchange rate was £1 to 250 yen. Normal average is around 200. I didn't buy in any great volume, 'we can get 6% on instant savings with sterling!!' and look at it now.

BoE knew what they were doing and it's all a big show to keep the international markets happy. Which is fair enough from a macroeconomic point of view, but of course us savers got screwed.

So those of us with cash deposits need to grab what we can - I'm going to get some of these just as a hedge (as I probably said four years ago...) I'm pretty sure I'll be buying within 5 years but a) you can cash these out after a year and get RPI+0.verylittle% and B) my join date is 2006 and I daresay I didn't expect this bubble to perpetuate another 5 years at the time...

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why would you use up ISA allowance on them when they are already tax free?

Maybe you've already put your money into this year's ISA, but given the chance would have put it into these index-linked certificates instead?

Not everyone has enough savings to max out every possible tax-free cash savings opportunity.

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  • 312 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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