# Eddie Hobbs 1st April 4.75% on 21 day account?



## oldtimer (1 Apr 2007)

Have just watched Eddie Hobbs show. The lady stated she went to her bank and got a 21 day account with interest of 4.75%. Did she mention the bank? My wife says it was PTSB but I dont think so. Have checked PTSB website - the best I can see there is a 21 day regular saver account at 5%, which is very poor. Their lump sum interest is 4%. I wonder what bank it was because 4.75% is very good, bearing in mind the programme was out of date (Northern Rock came up at 4% and has had 2 increases since then). The programme must have been made in 2006 which makes 4.75% even more attractive.


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## sunrock (1 Apr 2007)

What struck me about the programme was the fact ,that here we have a woman with 40k in the bank and eddie hobbs is explaining to her about equity release.She owns her own house and she could "sell" half of it to an equity release firm to get about 42k.Meanwhile she is pursuing the pipedream of having her own buisness advising people about writing c.v.s and preparing them for interviews.Eddie suggests she put money into northern rock to get just over 1k in net interest which makes everyone delighted....and also slyly suggests she gets over to ptsb to get them to match the n.r. rate.Her son is delighted that this equity release will allow her to live it up,even tho`it might effect his inheritance....mightn`t be so happy later  imo.
This idea of encouraging older people near pension age...she is 65, to keep on working is so unrealistic , especially when we have so many young immigrants willing to work hard for low wages.
Surely anyone with half a brain would tell her to take her 40 k in the bank and take her cruises and hols and have a good year and come back and apply for the pension.


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## Brendan Burgess (1 Apr 2007)

I thought it was an odd programme in that they went through the various options of equity release with a woman who was still working and had €40k on deposit. He should have just told her that equity release was of no interest to her now and wouldn't be for a few years. 

They should do a special on equity release and not confuse it with a second issue.

I think he is dead right to challenge the idea that everyone has to retire at 65. If someone can't afford to retire and enjoys her work and is good at it, why should she retire? But it was odd that she was moving into a new career where there was no evidence at all that she had any experience or qualities to make a success of it. 

Brendan


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## ontour (1 Apr 2007)

Work is not always a misery for people.  From experience of parents and friends parents, I have noticed that those that give up work, age quicker than those that continue working.

What I found great about the programme was the person that needed the help got a better return that suited her needs than Eddie with his Northern Rock!

I agree that they glossed over the equity release pitfalls, our Eddie has become a bit nonchalant about our skills.  He should take a leaf out of Duncan's book which assumes we stil don't know what a cfl is !


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## KalEl (1 Apr 2007)

ontour said:


> Work is not always a misery for people. From experience of parents and friends parents, I have noticed that those that give up work, age quicker than those that continue working.
> 
> What I found great about the programme was the person that needed the help got a better return that suited her needs than Eddie with his Northern Rock!
> 
> I agree that they glossed over the equity release pitfalls, our Eddie has become a bit nonchalant about our skills. He should take a leaf out of Duncan's book which assumes we stil don't know what a cfl is !


 
You're absolutely right. Retirement is in itself can be very stressful...it's good to see companies offering training/counselling to people who are retiring. How many people have we all known who have fallen ill or even died shortly afterwards?


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## sherib (2 Apr 2007)

I thought that the main point of the programme was to show that people need to become more knowledgeable about bank rates and not just leave their savings in any old account. What was she getting? 0.1% I think. Not everyone accesses _AAM _or reads enough papers to be aware of bank rates so I wouldn't be so 'superior' about the programme. On a recent radio vox pop none of those questioned knew how much interest they were paying on their overdrawn credit cards. And didn't seem to be worried about it either! Moral of the storey, you can never overestimate the degree of financial ignorance out there. 

I also thought that Eddie highlighted the cost of _equity release_ very well and I did believe the woman's son was quite sincere in his wish that she enjoy her life even if that deprived him of his inheritance. At least he wasn't mercenary like so many these days. You'd have to admire her self confidence as it appeared she wouldn't have a problem "coaching" people yet (apparently) without training. On the other hand, I can't help thinking that so called "Life Coaches" have an element of _chancerism_ about them! I'd very much doubt that she'd be depriving any young immigrant of a job. In conclusion, Eddie made two very worthwhile points:

1. Watch your deposit interest rates (if you don't read AAM) and

2. Be aware that the amount received with Equity Release doubles every eleven years; and should be regarded as the last parachute on the plane!


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## Wilkes (2 Apr 2007)

I suspect that the programme was really aimed at the older viewers most of whom, from my experience, especially those who spent their entire lives unexposed to accountants etc are financially poorly informed. It might seem like abc to us but you could see that she genuinely awoke during the time on the show. I thought she was quite authentic and representative of a lot of her generation who still feel they can't tackle their banks. 

The rate was probably pre the last ecb rise but if lots of older depositors come to learn of NR and how to use its rates to get a better deal from their lifetime banks, it provided a good public service. I thought she was great incidentally, very inspirationaL for her peer group.


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## ClubMan (2 Apr 2007)

oldtimer said:


> Have just watched Eddie Hobbs show. The lady stated she went to her bank and got a 21 day account with interest of 4.75%. Did she mention the bank?
> 
> ...
> 
> The programme must have been made in 2006 which makes 4.75% even more attractive.


The program was old because it had _NR _paying 4% but they are paying 4.3% now. Perhaps it was _Anglo Irish Bank_? 

I thought that the programme was very repetitive and just said the same thing over and over again (about deposit rates, equity release, retirement at 65 etc.)

She also spoke of her _"champagne lifestyle on a lemonade budget"_ and yet she had managed to save almost €40K and own her own home. Didn't make sense to me...

Her unease at putting money in an "online" bank was telling. Lots of people (and not all of them older) seem to have this attitude.


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## jhegarty (2 Apr 2007)

ClubMan said:


> The program was old because it had _NR _paying 4% but they are paying 4.3% now. Perhaps it was _Anglo Irish Bank_?
> 
> I thought that the programme was very repetitive and just said the same thing over and over again (about deposit rates, equity release, retirement at 65 etc.)
> 
> She also spoke of her _"champagne lifestyle on a lemonade budget"_ and yet she had managed to save almost €40K and own her own home. Didn't make sense to me...



No he said it was PTSB gave the account ,but only if you asked...


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## Wilkes (2 Apr 2007)

No mystery the PTSB rate is now 5%, I just presumed the show was done before the last ECB rise. Here's the link to it; [broken link removed]. I reckon that the bank quietly applies the monthly savings rate as a "blocker" rate to stop a small depositor from walking out the door. She evidently got it and now its broadcast!


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## ClubMan (2 Apr 2007)

But that's a regular saver account and not a lump sum account. And there are much better regular saver rates out ther e.g. 7%+.


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## oldtimer (2 Apr 2007)

Correct. There was mis-information on the programme. She stated she was now getting 4.75% interest on a 21 day account. It may have applied to a regular saver account but not to her lump sum in the bank. She could not have got 4.75% then and she won't get it now on a lump sum of 38K.


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## ClubMan (2 Apr 2007)

oldtimer said:


> Correct. There was mis-information on the programme. She stated she was now getting 4.75% interest on a 21 day account. It may have applied to a regular saver account but not to her lump sum in the bank. She could not have got 4.75% then and she won't get it now on a lump sum of 38K.


Although she will get 5% on €10K from _Rabo _and 4.3% on the rest from _NR _if she could overcome her fear of online banks (both gross _CAR_).


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## Wilkes (2 Apr 2007)

Watching the programme I remember NR was suggested as on-demand. She then goes to PTSB and has her deposit rate lifted to 4.75% as a 21 day rate. this is the PTSB response to her bringing out the NR rate. My guess is that the branch gave her that rate to hold the money even though, in the window, this is a monthly saver rate. That is how I read the story. It remains to be seen if the bank responded to tv pressure if it knew about it or if this is standard practice when faced with a disgruntled customer?????


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## ClubMan (2 Apr 2007)

I think I'll try that approach with _PTSB _myself and see how I get on.


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## Moose (2 Apr 2007)

Can I just check: does the rate you get with AIB depend on when you sign up for the regular saver account?


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## KalEl (2 Apr 2007)

Moose said:


> Can I just check: does the rate you get with AIB depend on when you sign up for the regular saver account?


 
The rate will be the same but the return will be different. As the rate is for a limited period the later you sign up, the worse off you will be.


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## Sue Ellen (12 Apr 2007)

ClubMan said:


> I think I'll try that approach with _PTSB _myself and see how I get on.


 
Hope you don't mind me asking but have you approached them yet and, if so, how did you get on?


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## ClubMan (12 Apr 2007)

No - didn't get a chance yet.


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## oldtimer (12 Apr 2007)

Very doubtful the lady on the programme was correct and dont think PTSB can just change the rules to suit an individual. By the way am I reading the EBS optimise rates correctly? Does it state they will pay *5.25%* on lump sum for three months? Best Buys says *4%*. Could put €20,600 (my SSIA amount) on deposit for 3 months and then take it out (it drops to ECB rate after 3 months).


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## ClubMan (12 Apr 2007)

oldtimer said:


> By the way am I reading the EBS optimise rates correctly? Does it state they will pay *5.25%* on lump sum for three months?


From the [broken link removed]:


> • *5.25% fixed interest rate available on the initial lump sum lodgement and additional lodgements made by direct debit for the first 3 months of your account. Minimum C.A.R. in year one is 4.13% based on ECB rate as at 08/03/07.





> Could put €20,600 (my SSIA amount) on deposit for 3 months and then take it out (it drops to ECB rate after 3 months).


 Can't see why not from a quick scan of the bumpf.

When did this rate become available? I don't think that it was on offer to me when my _EBS SSIA _matured.


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## oldtimer (12 Apr 2007)

Just rang EBS - the 5.25% started last week, April 3rd. It is available to all SSIA holders, not just EBS customers. Proof of SSIA matured amount is needed and that matured amount can be lodged to an 'optimise' account, getting 5.25% for three months. One can just withdraw then or leave in account but dropping to ECB rate.


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## ClubMan (12 Apr 2007)

Thanks _oldtimer_. When my _EBS SSIA _matured in December I left most of it invested in _Summit Funds _and transferred €130 to a new _Optimise _account. Obviously this rate was not on offer to me then but I will be asking them to give it to me now and for any further lump sum that I might lodge!


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