Should I lock my money into fixed deposit?

Hi

I've heard a lot talking about impact of NAMA on deposit rates. It suggests that deposit rate will drop once NAMA took all the bad loans from banks.

so is it a good time to lock some cash in fixed rate deposit account with good interest rate?

also would interest rate of government bonds go up due to impact of NAMA?

any thoughts?

thanks,

The difference between instant access rates and term deposit rates is very small at the moment. There is little financial intensive to lock.

Will NAMA case a reduction in savings rates? Well, if NAMA passes, then their will be less pressure on banks to increase their deposit to loans ratio which might create some downward pressure on savings rates.

However, savings rates are been driven up at the moment by competitive pressures which are only increasing and the ECB is likely to increase rates late next year.

I would guess that term deposit rates will only be higher is 6 months time as speculation grows about possible ECB rate increases.