# Where to deposit €70k



## spinal_tap (29 Nov 2007)

Hi, just looking for advice on where to put 70k on deposit.

I've already decided on €30k in Rabo (10, 10 and 10 in mine, Mrs T's and jont accounts), but where should we put the balance. Would be keeping it in place for at least two years, and not interested in looking at the markets.

Are all the 5% products (NIB, AIB) pretty much the same?


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## CCOVICH (29 Nov 2007)

Have you had a look at the relevant thread in the Best Buys forum? Was it any use?

I'm not sure I'd recommend putting money on deposit with Northern Rock at the moment!


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## JR Rizzo (29 Nov 2007)

yeah, all the accounts are pretty much the same

just put the rest into the rabo accounts
(you are 30k at max 5% anyway)

the gains you get by searching and opening other savings accounts 
marketed as "best rate" are negligible

turn down your thermostat,
switch off your lights
and dont rev your car as much

JR


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## Sunny (29 Nov 2007)

JR Rizzo said:


> yeah, all the accounts are pretty much the same
> 
> just put the rest into the rabo accounts
> (you are 30k at max 5% anyway)
> ...


 
If he puts it all in Rabo, he will be earning 3.5% on 40,000 euro. It is worth shopping around for that amount of money. Plenty of offers around the 5% mark. Maybe you just don't need the money as much as the rest of us!!


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## Butch (29 Nov 2007)

You may want to check Irish Nationwide FlexiSaver 21 (issue2). 

Just launched, available until Jan 31. 

21 Day Notice, minimum 20k. 

For balances between 20k and 50k pays ECB+0.6 (until 30-04-08), ECB+0.4 (01-05-08 until 30-09-08) and ECB+0.25 (01-10-08 until 31-12-08).

Regards,
Butch


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## oldtimer (29 Nov 2007)

You have 30K with rabo @ 5%. I would open accounts for myself and Mrs with First Active E-savings - 14K each @5.22%. I would open accounts for myself and Mrs with new AIB 7 day E-savings - 6K each @ 5%. You now have 42K on deposit @ 5% and 28K on deposit @ 5.22%.


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## Sailor (29 Nov 2007)

Why not just put the lot in Anglo Irish Bank and save all that hassle, and administration. After moving some money from NR to Anglo i found them to be the most efficient bank i ever dealt with.
None of this mickey mouse banding nonsense.
 30 day notice 4.5%
 3 month term 4.77%
 6 month term 4.75%
 1 year   term  4.76%
 2 year   term  9.75%


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## Gautama (29 Nov 2007)

Given the recent Northern Rock scare, I would not leave more than 20k with any financial institution.

If a financial institution goes bust, you'll get a max of about 20k back, via the state.

Therefore, 70k would indicate at least four different accounts. Also, more than 10k in many account earns a lower rate.

Don't keep all you eggs in the same basket.

Personally, the baskets I use are Rabo, First Active, Ulster Bank and Anglo, with a little debris in Northern Rock.


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## ClubMan (30 Nov 2007)

Gautama said:


> Given the recent Northern Rock scare, I would not leave more than 20k with any financial institution.


As mentioned several times already _NR _deposits are fully guaranteed and the _UK _compensation guarantees much more than €20K normally anyway (c. €45K?).


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## sherib (1 Dec 2007)

If it's of any interest to the OP, I re-deposited funds with N.R. having withdrawn when the scare occurred. I am confident that savings in _NR _are fully guaranteed and are in excess of Irish Banks' guarantees. I shall reconsider when the rates in the banks are announced for 2008. 

As a matter of interest there was an interview with someone representing Richard Branson on _RTE _Radio on Wed/Thurs which suggested that a sale might be on the way to RB. I think she said he was ready to pay ~ 15 Billion of the debt to the B of E. Also, some time ago one of the Irish financial experts here wrote that _NR _was probably the safest bank at present. As everyone knows the only certainties are death and taxes!


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## Gautama (1 Dec 2007)

ClubMan said:


> As mentioned several times already _NR _deposits are fully guaranteed and the _UK _compensation guarantees much more than €20K normally anyway (c. €45K?).


 
True, but does this not apply to the Northern Rock scare of Autumn 2007 only?
Many of the British public are not happy that their taxpayers' money has been used to bail-out a floundering private business. I'm sure they are less happier still that the bail-out is to protect non-British investors.

Browne and Darling were on the crest of a policial wave when this Northern Rock scare happened. They could do nothing wrong. But a week is a long time in politics and their popularity has dropped immensely. Should Northern Rock enter difficulties again (or another UK finincial institution) I don't think they will be quiet as flaithuil with their potetial voters' money.

Anyway, Northern Rock is tarnished, this episode can only be seen as a disaster for them, right or wrong.


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## ClubMan (1 Dec 2007)

Gautama said:


> True, but does this not apply to the Northern Rock scare of Autumn 2007 only?


The full guarantee yes. But the normal _UK _depositor compensation scheme covers over twice the amount that the _Irish _one does as a matter of course.


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## spinal_tap (3 Dec 2007)

Thanks for replies.

WRT the rabo acounts, should 10k be lodged into each a/c, or just under the 10k mark due to interest accruing, or does it (interest) automatically get lodged to the account you nominate?


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## ClubMan (3 Dec 2007)

_Rabo _will pay 5% on €10K and 3.75% on just the balance over €10K. Not like, say, _FA _who pay 5.22% on balances up to €15K and then a lower rate *on the full amount *if you exceed €15K! So with _Rabo _even if you have €11K in the account you will still get 5% on the €10K and just 3.75% on the €1K amount above €10K.


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## spinal_tap (3 Dec 2007)

Thanks Clubman.

Wonder if the Regulator has looked at the way F.A. are pimping their offering, which to me is deliberately misleading?


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## ClubMan (3 Dec 2007)

This is covered in other threads. I'm not so sure that it is misleading since they clarified matters [broken link removed]:


> For deposits of €15,001 and above, the gross rate of 4.33% AER will be applied to the whole balance.


 On the other hand other threads suggest that the rule in practice is actually that the lower rate applies once the balance reaches or exceeds €15,000 (or maybe €15,000.01?). If you are concerned then why not make a query/complaint to _IFSRA_?


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## OtherMe (6 Dec 2007)

ClubMan said:


> _Rabo _will pay 5% on €10K and 3.75% on just the balance over €10K. Not like, say, _FA _who pay 5.22% on balances up to €15K and then a lower rate *on the full amount *if you exceed €15K! So with _Rabo _even if you have €11K in the account you will still get 5% on the €10K and just 3.75% on the €1K amount above €10K.


 
Reading the small print you'll see rabo 5% offer is only until 31/12/2007 at which point it goes back to 3.75%.  Does this apply to existing accounts or does it only apply to new accounts opened after 31/12/2007?


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## ClubMan (6 Dec 2007)

Existing accounts too - unless they announce something else in the meantime.


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## ashambles (6 Dec 2007)

Rabo also give decent term deposits - though not as good as Anglo.

It's comforting to have instant access to funds, but often not necessary for the entire amount of savings. The one month rate is quite attractive  and once the term is over you could put the money back in again if there was still no need for it.

From [broken link removed]

(As will be mentioned in the post Clubman is about to make, these are annualized rates.)

1 month 4.50%
3 months 4.52%
6 months 4.33%
1 year 4.28%
2 years 4.32%
3 years 4.31%
4 years 4.33%
5 years 4.36%


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## ClubMan (6 Dec 2007)

Your post is a little misleading and may suggest to some people that they get 4.5% after one month etc. rather than those rates being the annualised _CAR _return!


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## landlord (8 Dec 2007)

CCOVICH said:


> Have you had a look at the relevant thread in the Best Buys forum? Was it any use?
> 
> I'm not sure I'd recommend putting money on deposit with Northern Rock at the moment!



Any idea why this thread is closed.  Is there another one which is open and up to date, regarding what all the institutions are offering in the way of instant access or 1 month notice accounts. I have about 50 K to deposit for between 4 months to a year......thanks


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## ClubMan (8 Dec 2007)

It's closed because it is a read-only list of best buys and not a discussion topic. If you can spot any errors or omissions post them here and it will be updated.


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## landlord (8 Dec 2007)

ClubMan said:


> It's closed because it is a read-only list of best buys and not a discussion topic. If you can spot any errors or omissions post them here and it will be updated.



I guess its a difficult one because the offers from the banks change so frequently. Would it be possible to open a new discussion on this so we can be kept up to date.  For example I know First Active are offering a 5.22% rate on savings up to 15,000 Euros, but is there a bank out there offering a similar rate but with a higher ceiling? I already have a Rabo which is maxed. thanks....


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