First Active reduces eSavings rate

Hi,
Alright not the news you wanted to hear though I suspect it's not a complete surprise since the ECB rate cuts.

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Under Top Interest Rates:

eSavings Account 4.75% AER variable

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The rates page details the band as:
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€15,001 - €1,000,000 3.74% Gross 3.80% AER
€1 - €15,000 4.65% Gross 4.75% AER

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Guess some people will be considering a move to the eSavings Plus Account.

Guess some people will be considering a move to the eSavings Plus Account.

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If you are considering that, read the terms and conditions CAREFULLY.
I personally think the ESavings Plus has been designed to catch people out.

ESavings Plus will only really suit you if:
- you have more than 15K to deposit
- you don't plan to make any withdrawals
- but you need the flexibility to take money out if you really need it.

The interest rate is a paltry 0.65% if you have less than 15K on deposit.

Most importantly of all: If you withdraw money, you get NO interest at all in that month.

Personally I'd be looking at fixed rates for your money, because the ECB are on a rate cutting spree.
If you must keep it in a demand account, Anglo, Halifax and NR are still competitive - for now!!

MysticX said:

Hi,
Alright not the news you wanted to hear though I suspect it's not a complete surprise since the ECB rate cuts.

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Foppin Backstards - I'll have to go open a different foppin account now.

Thanks for heads up though - I think its time to open a fixed account

John J said:

importantly of all: If you withdraw money, you get NO interest at all in that month.

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Ah thanks for pointing that out. Thought something important escaped me about it.

Just noticed that the Plus account also pays interest monthly so the withdrawal penalty really makes that a mute point (assuming you want to use the interest every month).

Strange, both of those pages still say 5.22%.

However I wouldn't be surprised if this and other savings accounts drop.

brian1 said:

Strange, both of those pages still say 5.22%.

However I wouldn't be surprised if this and other savings accounts drop.

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I noticed the same thing earlier today.

They changed it to 4.75% on thier website yesterday but changed it back to 5.22% today. Perhaps it was just a mistake. Have they announced a decrease in the rate in any national newspapers or the like?

DELLBOY 08 said:

Perhaps it was just a mistake.

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When they put the new interest rate up yesterday, they had "Effective from 18 November 2008" which is next Tuesday
So perhaps they've just decided to put the old rate back up in the meantime.
On the other hand, maybe they've changed their mind.

One to keep an eye on - and there's no doubt we will!

Decreasing from 18th Nov 2008.

MugsGame said:

Decreasing from 18th Nov 2008.

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It's disappointing that they've decided to decrease the rate on this account considering that they've introduced two new high interest deposit accounts recently in the E-Savings Plus & Money Market accounts.