Putting all savings in NTMA?

Sarenco

Registered User
Messages
6,668
Pretty savage cuts alright.

Mind you, the yield on 10-year Irish Government Bonds is currently negative (-0.19%) so retail investors are still getting a reasonable deal.

Also, inflation (CPI) is currently negative (-1.0%).
 

jpd

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2,270
Not much anyone can do right now - too much savings in the world, not enough investments. Well, apart from governments throwing money at anything and everything that moves or, indeed, doesn't
 

RedDevil

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85
0.59% on Savings Certificates where I have most of my money and no decent alternative investment regime
 

fayf

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Messages
178
Its not an unexpected decrease, but it means one has to take some risk. Have a few 10 year state savings tranches, at rates between varying 50 % and 16%, but 10 %, is just too low, so have to look at something else for going forward.
 

MugsGame

Frequent Poser
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2,617
Checked my Ombudsman complaint, Irish Nationwide had a regular saver paying 7.35% in 2008. Admittedly it was a building society not a bank, but I also recall getting high 1 year fixed rates from Anglo Irish and BOI around the same time.
 

ATC110

Registered User
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343
Likew
Checked my Ombudsman complaint, Irish Nationwide had a regular saver paying 7.35% in 2008. Admittedly it was a building society not a bank, but I also recall getting high 1 year fixed rates from Anglo Irish and BOI around the same time.
Likewise
 

MugsGame

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2,617
I was a heavy saver from 2008 onwards but from memory the best rates only ever started with a four.

Sorry to hear your memory is failing you :p

I have a leaflet from Irish Nationwide and statements from Anglo which confirm regular saver and fixed term rates in the 6-8% range I've quoted earlier. Rates will obviously have been lower for demand accounts.
 

NoRegretsCoyote

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2,523
@MugsGame

We're these new rates on offer in 2008 or were you taking advantage of existing products?

My own files are buried deep but I am pretty sure I had both a one-year term deposit with Anglo and a regular saver opened late 08 or very early 09.

I think neither topped 5% but indeed memory could be faulty! Rates might've been different pre and post guarantee of course.
 

MugsGame

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2,617
@MugsGame

We're these new rates on offer in 2008 or were you taking advantage of existing products?

My own files are buried deep but I am pretty sure I had both a one-year term deposit with Anglo and a regular saver opened late 08 or very early 09.

I think neither topped 5% but indeed memory could be faulty! Rates might've been different pre and post guarantee of course.

Most of my records are digital; I have dated scanned documents and/or emails to/from institutions which confirm the following new account openings:

Jan 2009 - 6% 1 year fixed with Anglo (may have been lucky with my timing, Anglo email advises rate for new a/cs was due to drop to 5.25% on 21st Jan)
Jun 2008 - 8% regular saver with Anglo
Apr 2008 - 7.35% regular saver with Irish Nationwide

Also the following aberration:
Apr 2011 - ~4.5% 2 year fixed rate deposit opened with BOI (3% paid at end of year 1 and 6% paid at end of year 2 if left for second year)

Their deposit rates being above their loan rates should really have been a sign to short these lenders ... I was such a rate tart, I've found paperwork from banks I'd forgotten existed, e.g. NIB.
 

cbreeze

Registered User
Messages
38
Checked some of my Anglo records; I had a 6% 1 year rate with them in 2009 and an 8% regular saver in 2006.
Back in the day you could keep maturing An Post savings with them for years after they matured - they paid the rate applicable at the time. I had some back in the 80s and kept them until 2001 when they stopped holding them.
 

cbreeze

Registered User
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38
'Grow your money with daily interest
Maximise your money with as much as 0.65% interest when you stash cash in a Savings Vault. (Coming soon in Europe!)'

Something to look forward to from Revolut! [From an email they sent on 16 January]
 

RedOnion

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5,758
'Grow your money with daily interest
Maximise your money with as much as 0.65% interest when you stash cash in a Savings Vault. (Coming soon in Europe!)'

Something to look forward to from Revolut! [From an email they sent on 16 January]
Don't get too excited. That's on USD funds.
 

Freelance

Registered User
Messages
64
State savings rates have been drastically reduced, effective January 24th

10 year bond,now paying 10% (was 16%)

There is now a further disincentive in the case of the 10 year bond. Previously, the return in years 6, 7, 8 and 9 made early redemption in those years somewhat tolerable, always a consideration in longer term products and made this product an attractive option when compared with Savings Certs if there was any possibility of leaving the money for more than 5 years, even if the full 10 years was unlikely. The new interest rate structure backloads to a much greater extent with 50% of the interest payable in the final year. (previously this was 18.75%). The impact on the APR in the later years is significant. Definitely a consideration for anybody who has to factor the possibility of early redemption into their decision.

Old cumul.Bonus - OldReturn - OldAPR OldNew cumul.Bonus - NewReturn - NewAPR New
End year 10.05%50100,0500.05%0.00%0100,0000.00%
End year 20.25%250100,2500.12%0.00%0100,0000.00%
End year 30.50%500100,5000.17%0.00%0100,0000.00%
End year 41.00%1,000101,0000.25%0.25%250100,2500.06%
End year 53.00%3,000103,0000.59%0.50%500100,5000.10%
End year 65.00%5,000105,0000.82%0.70%700100,7000.12%
End year 77.00%7,000107,0000.97%1.00%1,000101,0000.14%
End year 810.00%10,000110,0001.20%3.00%3,000103,0000.37%
End year 913.00%13,000113,0001.37%5.00%5,000105,0000.54%
End year 1016.00%16,000116,0001.50%10.00%10,000110,0000.96%
 
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