AIB Regular Saver 6.9% until Jan 2008
- Thread starter sherib
- Start date
But it's getting more and more difficult to compare these accounts on a like with like basis! 
Hi Sherib,
Can you link to a source for this? The current AER is 7.10% according to their website. I don't see any guarantee other than "ECB + 2.50% per annum until 01/01/2008. Thereafter ECB until 01/01/09."
Update: AIB issued a press release today increasing the Online PSP rate by 0.15%, but that's a different "regular saver" account than the one you referred to.
Can you link to a source for this? The current AER is 7.10% according to their website. I don't see any guarantee other than "ECB + 2.50% per annum until 01/01/2008. Thereafter ECB until 01/01/09."
Update: AIB issued a press release today increasing the Online PSP rate by 0.15%, but that's a different "regular saver" account than the one you referred to.
K
KalEl
Guest
I've looked at the Best Buys section but am still struggling to see which is the best product for me...I want to save somewhere between 300 and 500 a month for about two years. Flexibility is not hugely important but I don't want the world to fall apart if I need the cash in an emergency. Take the AIB one for example...7.1% makes you say wow. But it's only for 9 months, then it's the ECB rate which is rubbish.
I know, as Clubman said, it's getting harder to compare them (probably intentionally!)
But pound for pound which one do people think is the best?
I know, as Clubman said, it's getting harder to compare them (probably intentionally!)
But pound for pound which one do people think is the best?
Very few of these accounts are offerring guarantees beyond the end of the SSIA maturity phase. In the worst case you can close a poorly performing regular saver account and move the money to NR or Rabo.
However, all it will take is for one institution to keep generous rates for some of the others to follow. AIB, with the most flexible terms, would be particularly vulnerables to "rate tarts".
However, all it will take is for one institution to keep generous rates for some of the others to follow. AIB, with the most flexible terms, would be particularly vulnerables to "rate tarts".
Sorry MugsGame - no link. I was given that information when I phoned my AIB branch late this afternoon. Maybe a phone call would confirm it? I even rang back to confirm the rate - that's all I can add.
As ClubMan recently posted, the rate at which the Banks are changing their rates (!) - it's like being on a merry-go-round. Chasing bank rates could be a full time job it seems. When I think of the miserable rate paid by EBS (2.5%) just three years ago, it's simply terrific
As ClubMan recently posted, the rate at which the Banks are changing their rates (!) - it's like being on a merry-go-round. Chasing bank rates could be a full time job it seems. When I think of the miserable rate paid by EBS (2.5%) just three years ago, it's simply terrific
K
KalEl
Guest
Sorry MugsGame - no link. I was given that information when I phoned my AIB branch late this afternoon. Maybe a phone call would confirm it? I even rang back to confirm the rate - that's all I can add.
As ClubMan recently posted, the rate at which the Banks are changing their rates (!) - it's like being on a merry-go-round. Chasing bank rates could be a full time job it seems. When I think of the miserable rate paid by EBS (2.5%) just three years ago, it's simply terrific
Am I wrong in paying more attention to the terms rather than the headline rate? I mean, 7.1% on a max of 300 a month for 9 months with AIB isn't great is it?
I think the person in the bank has confused various announcements, that's all I can say. I trust what they put in writing more than a phone call, and I have printouts!
If you add today's 0.15% increase on the PSP account to the previous AIB regular saver rate you do get 6.90%, so perhaps that is where the confusion is coming from.
If you add today's 0.15% increase on the PSP account to the previous AIB regular saver rate you do get 6.90%, so perhaps that is where the confusion is coming from.
Hi MugsGame - here's a link which seems to agree with what I was told on the phone: [broken link removed]
I see what you mean - it doesn't explicitly state the regular saver rate stays at 6.9% till Jan 2008 but then I'm not great at these AER calculations - they seem to be designed to confuse us especially the less mathematical among us.
I see what you mean - it doesn't explicitly state the regular saver rate stays at 6.9% till Jan 2008 but then I'm not great at these AER calculations - they seem to be designed to confuse us especially the less mathematical among us.
Hi sherib,
That AIB page lists a rate of 6.98%, which isn't quite 6.9%. As AIB pay interest every 6 months (and thus pay interest on interest) the annual equivalent rate is 7.10% as they also note. That's the only rate that means anything for comparing with other accounts. The increase in that was already reflected in the Best Buys.
As for the guarantee, they are tracking the ECB by a margin. But in the unlikely event that the ECB decreases in the next 9 months, they are not guaranteeing 6.98%/7.10% until next January. My spreadsheet says 7.10% is 0.5% above their current guarantee.
That AIB page lists a rate of 6.98%, which isn't quite 6.9%. As AIB pay interest every 6 months (and thus pay interest on interest) the annual equivalent rate is 7.10% as they also note. That's the only rate that means anything for comparing with other accounts. The increase in that was already reflected in the Best Buys.
As for the guarantee, they are tracking the ECB by a margin. But in the unlikely event that the ECB decreases in the next 9 months, they are not guaranteeing 6.98%/7.10% until next January. My spreadsheet says 7.10% is 0.5% above their current guarantee.
Thanks for that very useful information MugsGame - I'll bear A.E.Rs in mind when comparing rates in future. Maybe the woman in the bank rounded up the 6.98% to 6.9% - that's the sort of thing I might do myself, knowing no better!
My bet is that the ECB won't reduce rates and will just edge up very slowly not to rock boats. But then I'm no expert on this and none of them agree anyhow it seems. Up - down - it keeps us guessing and buying newspapers and still none the wiser.
You mean rounded down?