# Rabo Direct term Deposit



## cisco (14 Oct 2008)

Rabo are offering 5.10% over 6 months on term deposits

is this 5.10% for 12 months so really only 2.5% for 6 months

if i deposit 10,000 for 6 months how much interest will it earn


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## pudds (14 Oct 2008)

check if its 5.10% aer (annual equivelant rate) if not it should show the aer as well.


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## cisco (15 Oct 2008)

Term Deposits 1 - 11 months, Fixed, CAR. Term Deposits 1 - 5 years, Fixed, Gross Rate.

gone down to 4.95% for 6 months now

i really havnt a clue how this works, any advise would be appreciated.


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## AMatt (15 Oct 2008)

The interest quoted is the Annual Equivalent Rate (AER).

If you deposit 10k for 6 months at 4.95% AER then the calculation is simple.

4.95% of 10k is €495. Therefore your term deposit will earn half of that: €247.50.  

This interest is subject to DIRT, unless you're over 65 years old. It gets a bit more complex now because the DIRT rate is changing from January 1st 2009 to 23%, up from 20%.

As an example, if you opened the account at the start of November, then two months worth of interest would be subject to 20% tax and the remainder subject to 23%.

1/3 x 0.2 x 247.5 = €16.50
2/3 x 0.23 x 247.5 = €37.95
Total DIRT: €54.45

So you'll receive 247.50-54.45 = €193.05 in interest on your 10k for 6 months.


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## Dinarius (31 Oct 2008)

In the current climate, RABO appears to be losing its competitiveness in the deposit market.

I've been with them for a few years now, but I'm tempted to move.

As usual, inertia is the greatest enemy, coupled with the hassle of opening a new account elsewhere! 

Oh, well..........

D.


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## MugsGame (31 Oct 2008)

Irish Nationwide and Halifax branches open on Saturday mornings, if that makes it easier to move.


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## adox (1 Nov 2008)

Have two term deposits with them at the moment with decent rates, both mature at the end of the year/the new year.

Their rates now are very poor compared to their competitors. I`ll be keeping my current account with them @4.3% but will definitely considering moving some of the funds when they are frees up.


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## Dinarius (1 Nov 2008)

Is there any online site where I can get a table of up to date deposit rates offered by Irish based institutions?

Thanks.

D.


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## pudds (2 Nov 2008)

Have a look at the financial best buys thread on here and also check out itsyourmoney.ie


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## sulo (26 Nov 2008)

Just to note... rabo have dropped their rate of 4.3% to 4%.


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## marshmallow (27 Nov 2008)

adox said:


> Have two term deposits with them at the moment with decent rates, both mature at the end of the year/the new year.
> 
> Their rates now are very poor compared to their competitors. I`ll be keeping my current account with them @4.3% but will definitely considering moving some of the funds when they are frees up.


 
Do Rabo really pay 4.3% on the current account they open for you alongside the Savings a/c? Sounds good, I didn't know that


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## IrlJidel (27 Nov 2008)

marshmallow said:


> Do Rabo really pay 4.3% on the current account they open for you alongside the Savings a/c? Sounds good, I didn't know that



No. Current account pays zero%

Savings account pays 4%


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## nevertoolate (5 Dec 2008)

My love affair with Rabo continues despite their poor rates. I just have the impression they know what they're doing. I can access my money online, move it around, spend it, no questions asked. Excellent customer service always. I thought about moving some dosh to Investec, but their corporate image is so bad I simply don't trust them. Look at all those typos! And the agents seem to be slightly unprofessional too.


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## gallogly (5 Dec 2008)

agreed - the Rabo web site is intuitive and easy to use and customer service has always been spot on.


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## adox (5 Dec 2008)

marshmallow said:


> Do Rabo really pay 4.3% on the current account they open for you alongside the Savings a/c? Sounds good, I didn't know that



Sorry as already mentioned its on a savings account. Having said that their savings account is more or less a current account.


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