# Irish Nationwide fixed term deposit ready to mature - What to do



## cavanMan (7 Jan 2010)

Hi there!!

A friend of mine has 230k in a fixed term deposit with INBS ready to mature soon.

can you advise whether he/she should 

1. leave it where it is where the new rate is only 3%
2. withdraw half and lodge it in another bank and avail of a better rate - thus spreading the risk around ie 3% in INBS and 3.5 in Investec.
3. just go to another bank and try and get a better rate altogether.



any advice greatfully appreciated.


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## Lightning (9 Jan 2010)

Have you checked out the best buys for term deposits? 

Option 1) Don't do this, you are not getting the best return for your money. 

I would suggest around 100,000 EUR in Investec and the rest in Anglo. Both at 3.5%, ensure you get the correct term deposit product in Anglo. 



> *Best Buys - Highest Term Deposit Rates*
> 
> *6 Months* - Investec - *3.28%*
> *9 Months* - Investec - *3.52%*
> *1 Year* - Investec & Anglo Irish Bank - *3.50%*


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## ardmacha (9 Jan 2010)

As INBS have an excellent rate for demand accounts you could open two of these and put €20,000 in each, putting the rest on term deposit elsewhere.


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## cavanMan (9 Jan 2010)

Thank you all for your responses


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## soy (10 Jan 2010)

Once the blanket Govt Guarantee runs out (Sept 2010?) you will only be covered for 100k at any one bank, so best not to exceed 100k with any bank

http://www.askaboutmoney.com/showthread.php?t=93509


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## Lightning (10 Jan 2010)

The 2008 Government Guarantee runs out at the end of September 2009.

The 2009 Government Guarantee covers term deposits over 100,000 EUR that are have a start date before September 30th 2009 and mature after September 30th 2009. INBS and EBS have yet to sign up to the 2009 Government Guarantee but one would expect that they will. 

Hence, your term deposit over 100,000 EUR will probably be state guaranteed.


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## Bronco Lane (14 Jan 2010)

ardmacha said:


> As INBS have an excellent rate for demand accounts you could open two of these and put €20,000 in each, putting the rest on term deposit elsewhere.


 
I went in to my local INBS today to close a fixed term deposit.  The lady behind the counter made no effort to hold on to the account. I asked her was the INBS not interested in holding on to accounts anymore. She replied "They" won't match rates. When I enquired who "They" were I was told the Treasury Department.  
No mention was made of the demand accounts so I said to her that I had heard that the INBS were paying a good rate on demand accounts. It was only then that this account was mentioned.
I would hate to be a brach manager and having someone like that dealing with customers.


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## Lightning (14 Jan 2010)

I have also found the INBS customer service less than helpful. Many of the staff just don't seem to want to be there and their systems seem very poor. 

Perhaps, some staff are just waiting around for a post EBS/INBS redundancy package.


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## jawkneegee (20 Jan 2010)

I have been an avid reader of AAM , for the last year especially and have finally got around to registering to post. Yesterday I had to close my INBS account , due to their interest rates falling below 3%. Today I lodged the proceeds in the ulster bank 3.35%/1year term deposit. Not a lot of difference I know , but it all adds up. I was genuinley sorry that I had to close my INBS account which I have held for more years than I would care to mention, local office, know the staff personally and all that. INBS was a good place to save down the years with good rates always on offer. I would like on my first post to thank Fungus for his excellent work on the best buy threads which are most appreciated.


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## oldtimer (20 Jan 2010)

Why did you not put your money in an INBS instant access account @ 3.75% - better than the term account at 3.35%?


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## Lightning (20 Jan 2010)

jawkneegee - Thanks for the kind words. What made you choose the Ulster Bank product?

oldtimer - I agree with where you are coming from, the saver should look to get the best return for their money. However, I would be shocked if the 3.75% rate maintains itself for 1 year. Post EBS merger, this rate is likely to drop.


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## ardmacha (20 Jan 2010)

Post EBS the INBS rate may well drop, but you only need 6 months at this rate (probable) followed by at least 3.1% in INBS or elsewhere (likely to be possible) to come out ahead of 3.35% 1 year term. Plus you can access your money. But of course all of this is only applicable up to €40,000.


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## jawkneegee (21 Jan 2010)

I did not put the money into the instant access account because it is considerably more than 40k (but less than 100) and as i have an ebs account maturing in 2 weeks then i will consider transferring that account which is around the 40 k figure, but i am unsure what i will do yet to be honest.
I chose the UB account instead of Anglo or Investec for no reason other than the branch is 2 minutes from me and i prefer face to face contact rather than post or electronic means (bit of an old timer, sorry).


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## cavanMan (21 Jan 2010)

Well i choose the UB 3.35% fixed rate as there is not much in the difference with the other two being Investec and Anglo at 3.50%, and the face to face contact makes the difference too


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