Hi all,
Just wondering if anyone can explain to me how interest accrual works on Ulster Bank's Loyalty Saver account. I put €25k in an account last February to take advantage of the 2.5% rate plus 1% bonus if left for a year.
After various drops, the rate is now 1% + 0.85% bonus. I understand interest is paid each January. Two questions occur: 1) if the 1% bonus is after a year, does that mean I wait until January 2015 to get it? 2) Do I now only get 0.85% or do you get 1% pro rata for the period during which the bonus rate was 1%?
Really what I'm trying to decide is whether to close the account this year before the DIRT rate goes from 33% to 41% + 4%. If I'm not going to get the bonus in January 2014 there's definitely no point hanging on. Even if I *am* going to get the bonus I'm tempted to close it anyway to seek a higher return elsewhere (and also deprive the government of the extra tax).
Just wondering if anyone can explain to me how interest accrual works on Ulster Bank's Loyalty Saver account. I put €25k in an account last February to take advantage of the 2.5% rate plus 1% bonus if left for a year.
After various drops, the rate is now 1% + 0.85% bonus. I understand interest is paid each January. Two questions occur: 1) if the 1% bonus is after a year, does that mean I wait until January 2015 to get it? 2) Do I now only get 0.85% or do you get 1% pro rata for the period during which the bonus rate was 1%?
Really what I'm trying to decide is whether to close the account this year before the DIRT rate goes from 33% to 41% + 4%. If I'm not going to get the bonus in January 2014 there's definitely no point hanging on. Even if I *am* going to get the bonus I'm tempted to close it anyway to seek a higher return elsewhere (and also deprive the government of the extra tax).