Halifax monthly saver - what is the "bonus" rate of interest?

C

ClubMan

Registered User
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The [broken link removed] (see section 3 in particular) refer to the rate of interest which includes the bonus rate of interest if certain terms & conditions are met. Does anybody know what the bonus rate of interest is on an account opened early 2007 and still paying 7% on monthly amounts of up to €750? i.e. what portion of the 7% is a bonus that is only paid if the relevant terms & conditions are met?
 
The standard rate is 2.25% and the bonus rate is 4.75% adding up to a total of 7%.
 
Thanks a lot. Is that on their website anywhere or, if not, how do you know?
 
I'd say you can get a leaflet in their branches confirming the rate.

When I opened the account in Jan 2007 the standard rate was 2.25% and I just got my annual interest last month, which is broken down into standard and bonus on my statement.
The standard interest for the full year I got ties back to 2.25%... that's how I checked it... the rate can't have changed during the year.
 
Good question, Clubman, and one I asked earlier this year. You have answered it with your opening comment ''is it paid only if the terms and conditions are met.'' I cannot find it written down anywhere in the terms and conditions but when I rang was told the interest is 2.25% and bonus is 4.75% as John J said. If you contravene 3.6 of the terms and conditions i.e. close the account or make more than two withdrawals you will only get the bonus rate, 2.25%. What also concerns me is 9.1 ''You may close your account at any time by giving us notice. You may lose the bonus rate of interest if you close your account (see condition 3.6).'' Halifax have the 7% guaranteed to 31st January 2008. Their website still advertises it at 7% so I will continue to leave it open. However, if the rate drops within the next year and I close it I may lose the bonus rate and drop to 2.25% for the year.
 
oldtimer said:
Halifax have the 7% guaranteed to 31st January 2008. Their website still advertises it at 7% so I will continue to leave it open.
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Online banking also tells me that it's still 7% for this account.
 
No - mine just says 7% online. Same as the statement that I recently received...
 
No - mine just says 7% online. Same as the statement that I recently received
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Strange... are you sure your amount of interest on your online banking statement isn't broken down into two amounts... I have one amount of €109 and another of €230... with DIRT then deducted from each amount.
 
I got mine last week and like Clubman there was no breakdown, just an interest amount and DIRT deduction.
 
John J said:
Strange... are you sure your amount of interest on your online banking statement isn't broken down into two amounts... I have one amount of €109 and another of €230... with DIRT then deducted from each amount.
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Ah - missed that! I do indeed have two interest payments (and corresponding DIRT deductions/credits) alright. I guess that this reflects the base and bonus interest rates? The rate quoted is simply 7% though (was 6.85% (?) earlier in 2007).
 
Hey Oldtimer,

why would you want to withdraw all and miss your bonus if you could simply withdraw twice this year and leave a small amount to keep the account open until the next bonus is paid, and withdraw all after that?

>> Their website still advertises it at 7% so I will continue to leave it open. However, if the rate drops within the next year and I close it I may lose the bonus rate and drop to 2.25% for the year.

I asked Halifax if they were planning to drop their interest rate, and they mentioned that they could at any stage, however the Halifax employee said they'd still meet ECB after that... can't find any evidence on that in their T&C though.

Fanny
 
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