interestrateripoff Posted December 12, 2014 Share Posted December 12, 2014 Pensioner bonds to pay 2.8% and 4%New pensioner bonds are to carry market-leading interest rates, the government announces, with the products due to be launched in January. Isas to be passed on tax-free High rate 'pensioner bonds' revealed Once more the boomers get looked after, massive HPI and now they get improved saving rates whilst everyone else gets shafted. Quote Link to comment Share on other sites More sharing options...
Frugal Git Posted December 12, 2014 Share Posted December 12, 2014 Well...I'll be signing up at least the or the 4% ones on my folks behalf...can probably beat 2.8% for now using current accounts, but we'll see. I predict the rush when these go on sale means it's going to be the boomer equivalent of the military operation involved in getting Glastonbury tickets these days. Probably need 5 PCs, 2 phone lines and be vpning elsewhere too. 404s all over the shop. Mind you, only the boomers can afford Glastonbury too now. Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted December 12, 2014 Share Posted December 12, 2014 Well...I'll be signing up at least the or the 4% ones on my folks behalf...can probably beat 2.8% for now using current accounts, but we'll see. I predict the rush when these go on sale means it's going to be the boomer equivalent of the military operation involved in getting Glastonbury tickets these days. Probably need 5 PCs, 2 phone lines and be vpning elsewhere too. 404s all over the shop. Mind you, only the boomers can afford Glastonbury too now. Perhaps we can front run them and sell them on for a cut? Quote Link to comment Share on other sites More sharing options...
LiveinHope Posted December 12, 2014 Share Posted December 12, 2014 Approximately, an extra £360 over 3 years. Aren't votes cheap these days Quote Link to comment Share on other sites More sharing options...
R K Posted December 12, 2014 Share Posted December 12, 2014 (edited) Once more the boomers get looked after, massive HPI and now they get improved saving rates whilst everyone else gets shafted. No they don't (except a few very early boomers) Their parents do however. Only those aged 65 and over are eligible to invest in the bonds The Pensioner Bond was a Budget promise from the chancellor, following lobbying from charities. They argued that pensioners who had relied on the income generated from their life savings were particularly hard hit by more than five years' of record low interest rates. The interest on both bonds will only be payable at the end of the term, and anyone wanting to take their money out early will lose 90 days interest. Eh? So they cannot rely on the income if it's only payable in 3 yrs time. A not insubstantial cohort of the hoped for 1m subscribers will be dead before they receive the interest! Well done Gidiot. Edited December 12, 2014 by R K Quote Link to comment Share on other sites More sharing options...
goldbug9999 Posted December 12, 2014 Share Posted December 12, 2014 At least its an attractive alternative to BTL for those cashing in their pensions. Quote Link to comment Share on other sites More sharing options...
Frugal Git Posted December 12, 2014 Share Posted December 12, 2014 No they don't (except a few very early boomers) Their parents do however. Stop being a party pooper. A little boomer bashing is one of life's few pleasures, even when its utterly misplaced. Its those pesky early Gen Xers who are got the real golden ticket. Hpi, possible final salary pensions, free education AND relative youth. Plus they got to play on 2600s and zx81s. What utter gits. The blame will no doubt move on to them soon enough. Quote Link to comment Share on other sites More sharing options...
TwoWolves Posted December 13, 2014 Share Posted December 13, 2014 Government is desperate for cash. Everything must be just fine then. Quote Link to comment Share on other sites More sharing options...
olliegog Posted December 13, 2014 Share Posted December 13, 2014 (edited) At least its an attractive alternative to BTL for those cashing in their pensions. only 10K in the high paying bond and 10K in the 1 year - nothing to see here. then there is tax to pay on the interest ? I look forward to the days when savings rates are reasonable FOR ALL - and none of this over 65 nonsense.l just to add - over 65s cannot usually cash in their pensions as they will probably be already taking them! Edited December 13, 2014 by olliegog Quote Link to comment Share on other sites More sharing options...
crashmonitor Posted December 13, 2014 Share Posted December 13, 2014 (edited) only 10K in the high paying bond and 10K in the 1 year - nothing to see here. then there is tax to pay on the interest ? I look forward to the days when savings rates are reasonable FOR ALL - and none of this over 65 nonsense.l just to add - over 65s cannot usually cash in their pensions as they will probably be already taking them! Yep tax. Another question this information pack poses... Q. Why are these bonds being offered ?.........LOL....Because there is a general election coming up and the over 65s are more equal and its essential to protect the age profile that controls over half of uk net wealth. It's the new inverted benefits' system, get used to it. http://www.moneysavingexpert.com/savings/pensioner-bonds Edited December 13, 2014 by crashmonitor Quote Link to comment Share on other sites More sharing options...
winkie Posted December 13, 2014 Share Posted December 13, 2014 ....no difference then than juggling some pounds around a few current accounts....what you have to do to try and maintain the value of savings.....how can current accounts pay more in interest than a savings account.....madness. Ten thousand pounds is interest now rationed? Quote Link to comment Share on other sites More sharing options...
The Eagle Posted December 13, 2014 Share Posted December 13, 2014 I thought ageism is illegal? Quote Link to comment Share on other sites More sharing options...
crashmonitor Posted December 13, 2014 Share Posted December 13, 2014 I thought ageism is illegal? Special dispensation for the aged. Quote Link to comment Share on other sites More sharing options...
juvenal Posted December 13, 2014 Share Posted December 13, 2014 The problem with this 'bond offer' is that it's actually worth **** all, but the elderly will say 'at least Mr Cameron is looking after us old age pensioners, Doris. Have you seen the price of sprouts?" Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted December 13, 2014 Author Share Posted December 13, 2014 Stop being a party pooper. A little boomer bashing is one of life's few pleasures, even when its utterly misplaced. Its those pesky early Gen Xers who are got the real golden ticket. Hpi, possible final salary pensions, free education AND relative youth. Plus they got to play on 2600s and zx81s. What utter gits. The blame will no doubt move on to them soon enough. It was free education before it became a govt system for keeping large numbers of 18-21 year olds off the dole, now they pay £27k for the privilege of not claiming benefits. Quote Link to comment Share on other sites More sharing options...
Bland Unsight Posted December 14, 2014 Share Posted December 14, 2014 Turning Japanese? (H/T KB) Quote Link to comment Share on other sites More sharing options...
gf3 Posted December 14, 2014 Share Posted December 14, 2014 The people who will most likely benefit from this bond are the children of the OAP when the OAP dies. The bond is just big enough to pay for a funeral. Every pound saved after the age of 70 is a pound wasted. Quote Link to comment Share on other sites More sharing options...
Ash4781 Posted January 15, 2015 Share Posted January 15, 2015 (edited) There seems to have been a mad rush for these. I suppose with the drop in inflation they do look attractive. Still though many arr in a position to tie up large sums and what on the face of it looks like free money. This is not advice Edited January 15, 2015 by Ash4781 Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted January 15, 2015 Share Posted January 15, 2015 Government is desperate for cash. VOTES. Everything must be just fine then. Quote Link to comment Share on other sites More sharing options...
Quicken Posted January 15, 2015 Share Posted January 15, 2015 I thought ageism is illegal? +1. Exactly what my brother and I said to each other when these were originally announced. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted January 15, 2015 Share Posted January 15, 2015 There seems to have been a mad rush for these. I suppose with the drop in inflation they do look attractive. Still though many arr in a position to tie up large sums and what on the face of it looks like free money. This is not advice Nothing in life is free.....VOTE TORY, THEY LOOK AFTER SAVERS!!!!!!! Vote UKIP, the old are f**king you over. Quote Link to comment Share on other sites More sharing options...
R K Posted January 15, 2015 Share Posted January 15, 2015 In typical govt fasion, old people who these are targetted at, will have to apply online (!), or over the phone or order a form over the phone. Not sure gidiot has grasped what being "old" means...... Quote Link to comment Share on other sites More sharing options...
billybong Posted January 15, 2015 Share Posted January 15, 2015 (edited) The Pensioner Bond was a Budget promise from the chancellor, following lobbying from charities. They argued that pensioners who had relied on the income generated from their life savings were particularly hard hit by more than five years' of record low interest rates. The Bond will so compensate people for the years of record low interest rates - not. If you qualify you can put £10,000 + £10,000 total maximum in each of the 2.8% and 4% Bonds. Likely it's a pre-election one off and likely if you withdraw early from either Bond there'll be penalties - that's if you are actually allowed to withdraw early at all. So for the I year bond it's about £80 extra after tax over 1 year and for the 4% about £400 extra after tax over 3 years - compared to what's on the "High Street". A bit better than nothing but compensation certainly not. The money would have been better spent on building more houses for young people. Edited January 15, 2015 by billybong Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted January 15, 2015 Share Posted January 15, 2015 The Bond will so compensate OLD people for the years of record low interest rates - not. If you qualify you can put £10,000 + £10,000 total maximum in each of the 2.8% and 4% Bonds. Likely it's a pre-election one off and likely if you withdraw early from either Bond there'll be penalties - that's if you are actually allowed to withdraw early at all. So for the I year bond it's about £80 extra after tax and for the 4% about £400 extra after tax - compared to what's on the "High Street". A bit better than nothing but compensation certainly not. Quote Link to comment Share on other sites More sharing options...
billybong Posted January 15, 2015 Share Posted January 15, 2015 (edited) Old or young the amounts would not compensate. The money would have been better spent on building more houses for young people. Edited January 15, 2015 by billybong Quote Link to comment Share on other sites More sharing options...
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