ed
Member
Registered: 10th Sep 03
User status: Offline
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Natwest have been advertising their eSavings account on Online Banking for a while. I'm currently keeping my spare cash in an ISA, but the interest I receive on that is 0.5% APR. The eSavings account is normally 1.0% but they're giving a bonus of 1.85% boosting the APR up to 2.85%. The ISA is tax free and I assume that the eSavings account isn't, however would I be right in thinking that I wouldn't be eligible to pay tax on that as I'll be beneath a threshold on my earnings/assets/interest earned?
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AndyKent
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Registered: 3rd Sep 05
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You don't pay income tax?
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ed
Member
Registered: 10th Sep 03
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I earn about £2.5k a year that's taxable so I'm a little below the threshold 
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AndyKent
Member
Registered: 3rd Sep 05
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In that case eSavings all the way, is tax free for you 
Just be careful the bank doesn't take tax off the interest assuming you are above the threshold.
You'd be better off with the eSavings whether you paid tax or not though.
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ed
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Registered: 10th Sep 03
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Cheers
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Pop
Member
Registered: 8th May 03
Location: Reading
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Why not just transfer your ISA to one that has a significantly higher interest rate?
We move ours between banks most years.
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ed
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Registered: 10th Sep 03
User status: Offline
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Seems that there aren't many ISA's with a higher interest rate than 2.8% and I do value the ability to be able to access the account via online banking instantly more than the couple of pence extra I'd get on a 3.0% ISA. Not sure if that's the right attitude but
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AndyKent
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Registered: 3rd Sep 05
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It is. You only get decent rates locking cash away, but since rates suck anyway.....
I put all of mine in premium bonds. Sure I can sacrifice £25 interest a year for the chance to win decent money. If rates recover I'll move it out again.
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ed
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Registered: 10th Sep 03
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Was thinking premium bonds in 6 months to a years time, for now I like having easy access to the cash. Worth a shot
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Gary
Premium Member
Registered: 22nd Nov 06
Location: West Yorkshire
User status: Offline
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Safe deposit box. Best place for savings.
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ed
Member
Registered: 10th Sep 03
User status: Offline
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Or a box in the loft?
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harrisp
Member
Registered: 15th Dec 07
Location: Derbyshire
User status: Offline
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quote:
Originally posted by ed
Or a box in the loft?
Just don't have any sparkys round.
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Pop
Member
Registered: 8th May 03
Location: Reading
User status: Offline
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quote:
Originally posted by ed
Seems that there aren't many ISA's with a higher interest rate than 2.8% and I do value the ability to be able to access the account via online banking instantly more than the couple of pence extra I'd get on a 3.0% ISA. Not sure if that's the right attitude but
Second on the list at 3.05% with a £1 minimum deposit, also has instant online access.
http://www.moneysupermarket.com/savings/cash-isas/
[Edited on 15-12-2011 by Pop]
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ed
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Registered: 10th Sep 03
User status: Offline
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quote:
Originally posted by ed
...value the ability to be able to access the account via online banking instantly more than the couple of pence extra I'd get on a 3.0% ISA
Maybe I should have been clearer and said via Natwest Online Banking.
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dannymccann
Member
Registered: 9th Aug 06
Location: Doddington, Lincolnshire
User status: Offline
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Best rates are on monthly saving products if you dont pay tax, up to 8% @ First Direct
http://www.moneysavingexpert.com/savings/best-regular-savings-accounts
Why are you not keen on using any other bank than NatWest?
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ed
Member
Registered: 10th Sep 03
User status: Offline
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Was only keen on using Natwest if the difference was give or take half a percent - just means that I can access the money instantly via NWOLB if I needed it. The regular savings accounts are probably not what I'm looking for at the moment because some months I might not have anything to put away - will be worth a look for me in the future though
[Edited on 16-12-2011 by ed]
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