I may be telling people what they already know but someone I know has told me that he has an Investment Bond with Prudential that’s just sent him his yearly Statement and he says that he’s worked out that the interest paid last year was just over 5.8%
I’m assuming that he probably has a lot more dosh than I have and mine’s in piss-poor Instant access ISAs but I’m tempted to see how much and for how long to get that kind of interest so I thought I’d pass it on.
My ISA expires at the end of this month so I’ll only be getting 0.50% after that but the catch now is that I can’t transfer over to another Nationwide ISA, only start a new one from scratch.
That annoys me because, just like everything else these days, new customers get preferential rates etcetera from the Nationwide whilst loyal, existing customers get nothing.
A while back there were two attempts to get Nationwide to convert from a Mutual and I voted against it but, last time I voted I voted against the Pay of the Chairman & Directors because I believe that it’s scandalous what they’re paid when we get so bloody little - they’re a MUTUAL, not a bank. stevmk2
you say quote" I can’t transfer over to another Nationwide ISA, only start a new one from scratch." unquote
that is exactly what you have to do each year, reinvest in another ISA to get a better percentage. Your building society should help with this and you should be able to stay with the Nationwide anyway.
We do this every year so we don’t drop down to the lower rate. Nationwide should show you the options available and you just choose the one that suits you and Nationwide will do the rest.
The new ISA may or may not give a better interest rate then you are getting at the moment, but it will be better than just leaving it in your existing one to drop down to 0.5% after the first year
you say
I may be telling people what they already know but someone I know has told me that he has an Investment Bond with Prudential that’s just sent him his yearly Statement and he says that he’s worked out that the interest paid last year was just over 5.8%
What he didn’t tell you is that is more than likely before tax is taken out , and has been left in for a long period of fixed number of years.
Remember people usually like to make out they are getting more interest than they actually are
I left school before takeing GCE’s, I hated school so much you would not believe.
To my way of thinking as long as you can read and write, add up and subtract, that is all you need in life to get by.
Take me for example, left school with absolutely no qualifications, did an a 5 year apprenticeship and an ONC (ordinary national cert.) in electro/mechanical engineering
Worked hard eventually got my own business and now retired with a reasonable income -nice house as you may have seen- run 2 cars (one new) and have a good holiday to Brazil in lue of what my younger son owes us which is several thousands for his first house over here as deposit.
Not bad for how i started out, so education is not all it is cracked up to be.
Sorry for jumping on your thread with something different
Stevmk2
Yes Bazza I think (hope) we eventually find our own way to do things and progress.
I was far too shy to be much good at anything at school, except Art and you didn’t really have to say anything during Art classes … bliss
I invested in FTSE linked equity bonds when the market was near its lowest. They should return 50% tax free over 7 years, so not too bad…
But then again, when I retired almost 9 years ago, I could get 6% or 7% from most banks.
Bon’t know what I’ll do next - should get a state and another occupational pension this year. Maybe I’ll spend them - I could do with a new motorhome.
Most investment bonds paying 5% or more are taken over at least 5 years. I’m with Nationwide and have an Isa with them but also another elsewhere, as long as you don’t go over the isa limit you can move the balance to another bank/bs who accept transfers
Ah Mups, many a true word was spoken in jest. We retired (or at least stopped paid employment) in our mid 50’s and at that time our savings were earning £4k-£5k a year in interest which topped up my occupational pension. Now of course, the interest is virtually non-existant, prices have risen and so we’ve had to draw down on our savings.
Before anyone jumps up and down, I’m not complaining. I’m in a better position than many, but it just shows how quickly things can change and catch you out.
Based on the fact that you can’t accurately predict what will happen in future, I would say “Don’t retire early without a good financial buffer”.
Sorry realspeed - I didn’t make it as clear as I thought!
I will only put money in Cash ISAs as I can’t afford to lock anything away for long periods with a notice period to withdraw.
My current Nationwide Cash ISA expires at the end of this month and there is a newer one that gives the same interest rate as my old one but you cannot transfer-in.
I’ve decided that I will have to start from scratch with the new one and leave my money in the old one as it will still get 0.50% interest and we will be using nearly all of it for our holiday in September this year. stevmk2
It’s possible to transfer your ISAs from one provider to another, or from one ISA to another ISA with the same provider.
Since 1 July 2014, transferring your ISA has never been more flexible, as you are now able to transfer money from a Stocks & Shares ISA into a cash ISA.
Please note, we can’t accept transfers of Stocks & Shares ISAs from other providers to the Stocks & Shares ISA provided through us.
Why should I transfer?
[FONT=“Arial Black”]You may find that your old ISAs are on a low rate. This may be the case if you have a variable cash ISA, or your fixed rate ISA has matured and has been moved into a lower rate account.
To make sure you benefit from the best rates, you could transfer these ISAs to one with a higher rate, or one that better suits your needs[/FONT]
Please note that not all ISA accounts accept transfers in so you may need to shop around to find the right one for you.
Did you have a look at the link i posted.
the Isa we have allows one annual withdrawal without loss of interest, there are others with different arrangemments to suit you
Sorry but you still seem to be misunderstanding realspeed.
I have an Instant Access CASH ISA that expires Jan31st and goes down to 0.50% interest only.
I prefer to have Instant Access CASH ISAs just in case we need the money in a hurry because we’ve had that situation several times.
The only new Instant Access CASH ISA Nationwide is doing now with a DECENT INTEREST RATE of 1.50% doesn’t accept transfers-in.
What I’ve decided to do is leave the money in the Web ISA until we need it for our holiday and open a Flexclusive Instant Access CASH ISA with what I can scrape up now then - hopefully - add to that for at least a year as often as I can before they terminate THAT one. OK? stevmk2
Can you transfer your web ISA to a Flexclusive ISA? I understand they don’t accept transfers in but that may mean from other providers, have you discussed your position with an advisor?
I understood that part perfectly well thank you sue but I do not want to transfer to another provider!.
I was talking purely about Nationwide CASH ISAs.
If you look around at the opposition there’s not a lot of difference and I prefer to use banks or building societies where there is a branch nearby because I can’t use telephones. stevmk2
