Savings rates

No Ian -  you earn interest at the same rate, but now the tax is not deducted up front. You will therefore receive more, but may be liable to tax if that sum is greater than £1,000 p.a..

No...what I meant was, if the interest rate was, for example, 1.6% nett (2% gross) previously, we are now finding that it's 1.6% gross that they are paying.

Sorry Ian, I had not realised that. Surely one could expect Building societies to keep their basic rates unchanged? Is their regulator aware of this and what is he (she) doing about it?

Just had the usual letter from Halifax that the savings rate on an internet account  is being reduce to less than 1 % so not even keeping pace with inflation. If any bank would offer a decent rate they could close the others down!

No...what I meant was, if the interest rate was, for example, 1.6% nett (2% gross) previously, we are now finding that it's 1.6% gross that they are paying.

Write your comments here...

No...what I meant was, if the interest rate was, for example, 1.6% nett (2% gross) previously, we are now finding that it's 1.6% gross that they are paying.

Not had that - YET!  Did have letter from Nationwide to say ISA rate dropping from 1.4% to 1% on an existing one. More work to look and see if anyone offering better on transfers in .  Also got a fixed term ISA maturing at tne end of June so more homework!  Nearly a fulktime job trying to be an interest rate tart Got to watch tax situation already doing calculations as have accounts paying 5% and 3%. Got to shift some into ISA for this year, not cos the rates are better than I'm getting but to cut tax liability . Hoping not to get into tax form filling and additional PAYE calculated by the tax office on money it assumes I haven't spent once banks/building societies have told them the amount of interest paid to me in the previous tax year.

Can't see interest rates rising in the near or perhaps distant future .  I'd love what my in-laws and parents had we were paying 17% interest on our mortgage

Got to shift some into ISA for this year, not cos the rates are better than I'm getting but to cut tax liability .

Watch out Bakers we will soon be reading about you in the newspaper

Got to shift some into ISA for this year, not cos the rates are better than I'm getting but to cut tax liability .

Watch out Bakers we will soon be reading about you in the newspaper

Some chance

Invest some of your money in Premium bonds. No you don't get interest but with the steady winnings your annual savings increase by more than they would in a Building society.  Even winning between £25 - £75  every month is better. Never had a big win but regular small amounts are very welcome.

K  

Kennine lady luck must smile on you more often than us.  We have a couple of blocks and have never had a sniff.  Maybe worth a thought tho as you say doesn't attract interest and you can take out exactly what you put in.   

Always food for thought on this forum.  Financial advice is not covered by any guarantees