KBC regular saver maxed out

Hi

What’s happens if I accidentally go over the 40k in the year, does that mean I lose the higher interest for the following period in the same year
 
HollowKnight said:
I think you get the higher rate on up to the 40k and anything over is the low rate.
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That was my opinion but I have found out since that if your balance is over 40k at the start of the year, say the 1st Jan and it stays over the 40k for the 12 months, you get the lower rate of 0.01%
 
Balfour said:
That was my opinion but I have found out since that if your balance is over 40k at the start of the year, say the 1st Jan and it stays over the 40k for the 12 months, you get the lower rate of 0.01%
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Also, I can’t find where the above is noted in the T&C
 
Balfour said:
Also, I can’t find where the above is noted in the T&C
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84.11.8 If the Account balance exceeds €40,000 (including interest credited to the Account), the entire balance
will earn interest at the then prevailing Standard Demand Deposit Account interest rate as per our Personal
Deposit Rate Matrix. Your Standing Order(s) will continue to fund your Extra Regular Saver Account. We will
not provide any notice to you in this respect.
 
See attached, summary of interest rates changes in 2019 that I received with my statement, why do they clearly high light “ up to 40k” and over 40k
Why not just note, if the balance goes over 40k, 0.01% will apply to ALL the balance
Thanks
 

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Balfour said:
Why not just note
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I've no idea.

It's clear enough in their interest rate sheet, so I don't know why it's not as clear on their rate change notification. Maybe since it's in the T&C's they think it's clear enough.

[broken link removed]
 
Hi Red Onion

The following link is dated March 2020

[broken link removed]

I have attached pictures of their Rate Matrix dated Nov 2019, there is no mention of extra regular saver and in particular "what happens if the balance goes the 40k"

Thanks
 

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Hi Balfour,

I don't work for KBC, nor do I have one of these accounts. You said there no reference to it in terms & conditions. There is, or at least in the current version. But given this has been discussed previously, I doubt it was a secret:

KBC Extra Regular Saver threshold

In the best buys post for deposits, the following it's written: "2.10%* on €1 to €40,000 0.01% up to €1,500,000 on the whole balance if the balance exceeds €40,000" Also, in KBC's term and conditions: "Once the balance reaches €40,000 (including interest credited to the account), the full...
www.askaboutmoney.com

If you genuinely were never provided t&C's with this treatment, or otherwise notified of it, then I'd be making a complaint to the bank about it.
 
I'll be in the same situation in a few months so have started looking into this. Someone mentioned opening a second joint account, that's not permitted:

How many Extra Regular Savers can I hold?
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Only one Extra Regular Saver, either in your sole name or joint name is permitted per individual.
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[broken link removed]

While the National State Savings are attractive I don't have a mortgage yet so don't really want to tie any money up.

The next best I can see is Permanent TSB that gives 0.90 up to 50k.

https://www.permanenttsb.ie/saving-and-investing/savings-accounts/online-regular-saver/

It says you need to be a TSB customer and register for Open24 however I'm not sure if that means I need to open a current account and pay fees in order to avail of the 0.9%

This savings account is available online so you need to be a permanent tsb customer who is registered for Open24 to access it.
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faketales said:
While the National State Savings are attractive I don't have a mortgage yet so don't really want to tie any money up.
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2 comments:
State savings are accessible with very short notice. You get very little interest, but you're not locking the money away, untouchable.

You asked another question about the bonus interest from UB for drawing a mortgage, and you mentioned mortgage again here. UB and BOI both have bonus interest for mortgage regular savers, and the regular saver isn't too bad with either. Nobody knows how long the bonus interest will last of which bank will have the best mortgage rate by the time you want a mortgage, but it wouldn't be the worst idea in the world to open one with each and maybe get a bonus in the future.
 
Thank you.

Good point about the state savings, I imagine I will need the money within 5 years so I think I will end up with the low interest rate.

I'll look into both BOI and UB accounts with bonus interest for regular savers.
 

for what it’s worth, reduce your monthly savings so you do not exceed the 40k, if you exceed the 40k, the lower interest applies on the total amount.
 
Kilconleagirl said:
Just got letter today, regular saver interest being reduced from 1.25% aer to.75%
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Thanks for posting this.

I have not got the letter yet.

KBC have not posted the rate change on their website yet either.

What date did the letter say the rate change applies from?
 
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