# Irish Nationwide - fixed term or instant access



## laragh (9 Oct 2009)

Looking at sticking about €20,000 on deposit with INBS. They seem to have the best rates at the moment. I was looking at their fixed 6 mth account @ 3.78% but then they launched their instant access account @ 3.75% for amounts up to €20,000. SO the instant access account would seem to be the better option as their are no restrictions on access - 0.03% on €20,000 for 6 mths is only €2.25 less in interest after dirt.
The only thing I'm not sure about but is this 


> The rate includes a bonus of 1.25% that expires on 1 Jan 2011


Does this mean that the rate is really 2.5% but the bonus will kick in when you close the account? How safe is this bonus I wonder?


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## Gervan (9 Oct 2009)

The interest accumulates and will be paid on 31st Dec, at an interest rate including the bonus, for 2009 and 2010.
If your balance goes over €20,000 the bit over that gets the interest rate less bonus, i.e. 2.5%.
The bonus is as safe as anything these days.


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## Lightning (9 Oct 2009)

laragh said:


> SO the instant access account would seem to be the better option as their are no restrictions on access



The instant access rate could and probably will decline over the next 6 months. The term deposit is obviously fixed. 



laragh said:


> Does this mean that the rate is really 2.5% but the bonus will kick in when you close the account? How safe is this bonus I wonder?



The bonus applies at all amounts up to December 31st 2010. 

Just consider the bonus as been part of the rate until December 31st 2010.


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## duchalla (14 Oct 2009)

was on to irish nationwide this morning, they were qouting me 3.75% for the 6 month term deposit, just wondering where did the 3.78% come from? no mention of it either on the website, I know its only .03% but better in my pocket....


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## dereko1969 (22 Oct 2009)

With regard to the Instant Access account, it seems you can open 2 accounts so should the best buys be changed to describe it as up to €40k? ie two accounts both with €20k in each.
See here
*How do I open an account?*
The Instant Access Deposit Account is available to residents of the Republic of Ireland and registered charities. The account can be opened either by an individual, or jointly, up to a maximum of four people. A customer may hold no more than two Instant Access Deposit Accounts, they can be either jointly or solely.


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## Lightning (22 Oct 2009)

duchalla said:


> was on to irish nationwide this morning, they were qouting me 3.75% for the 6 month term deposit, just wondering where did the 3.78% come from? no mention of it either on the website, I know its only .03% but better in my pocket....



All our rates on AAM, are AER rates. The rate you were quoted was not the AER rate. 

You will get 3.78% AER.


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## Lightning (22 Oct 2009)

dereko1969 said:


> With regard to the Instant Access account, it seems you can open 2 accounts so should the best buys be changed to describe it as up to €40k? ie two accounts both with €20k in each.
> See here
> *How do I open an account?*
> The Instant Access Deposit Account is available to residents of the Republic of Ireland and registered charities. The account can be opened either by an individual, or jointly, up to a maximum of four people. A customer may hold no more than two Instant Access Deposit Accounts, they can be either jointly or solely.



Good spot. 

Up to 40,000 EUR in the best buys might confuse people.

I will add a note saying that people can open 2 accounts.


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## OPTIMUM (22 Oct 2009)

Anybody know what interest rate shows on your bank statement if you had 30,000 in the account ? Does it show 2 rates or is the average rate ? I only ask as my mam opened one of these a few years ago and it didnt show any rate so she never knew what she was earning...

INBS state:

"A balance of €10,000.00 would earn interest at the rate of 3.75%.
If a lodgement of €20,000.00 is made to the account and the balance stands at €30,000.00 it would earn interest as follows; €20,000.00 would earn the rate of 3.75%. The remaining balance of €10,000.00 would earn 2.50%.
"


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## Lightning (22 Oct 2009)

OPTIMUM said:


> I only ask as my mam opened one of these a few years ago and it didnt show any rate so she never knew what she was earning...



What account type/name did she open? 

The INBS instant access account is a new product.


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## serotoninsid (23 Oct 2009)

fungus said:


> The INBS instant access account is a new product.


Can you only open this in branch?  Downloaded the app. form with a view to posting everything in but theres no address on it - and no details on the website.  Bit of a drag driving an hour to open an account..


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## Lightning (23 Oct 2009)

Yeah, only in the branch. 

As per the best buys, INBS don't offer online banking services yet.


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## falcon7xs (2 Nov 2009)

Ref. the instant access do you need to invest less than 20000 to gain the max. return.
ie as interest is added daily and if you open the a/c with 20000 will the daily additional interest push the rate down?


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## Lightning (2 Nov 2009)

No, the interest is credited to your account on December 31st 2009, not daily. 

Interest accrued daily but does not pay daily.


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## falcon7xs (9 Nov 2009)

Thanks Fungus,but then i read this.....
http://www.tribune.ie/business/news...onwide-risks-running-out-of-capital-reserves/ 

Discuss!


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## Lightning (9 Nov 2009)

Your deposit is 100% state guaranteed. 

But, yes, by anyones definition IBNS are in a very poor financial state. 



> Deposit Protection: Irish Government Bank Guarantee Scheme until September 30th 2010,  Irish Deposit Protection Scheme only from October 1st 2010.
> *Deposit Safety: Moodys have rated Irish Nationwide as having a "E+ financial strength rating". The first €100,000 per person on deposit is protected beyond October 1st 2010, therefore, it has been suggested by several posters that you do not exceed €100,000 beyond this date.
> *


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