ashtondav
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Post by ashtondav on Aug 11, 2016 8:56:53 GMT
My wife and I have 3 123 accounts with Santander. We get 3% interest and cashback for many utilities AND 100% protected by the government.
ZOPA and RS access and rolling markets are also giving c3%, with NO PROTECTION (other than SG and PF).
Surely the market, or its investors, are seriously mispricing risk on these products?
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Post by lb on Aug 11, 2016 9:00:08 GMT
My wife and I have 3 123 accounts with Santander. We get 3% interest and cashback for many utilities AND 100% protected by the government. ZOPA and RS access and rolling markets are also giving c3%, with NO PROTECTION (other than SG and PF). Surely the market, or its investors, are seriously mispricing risk on these products? Santander reducing its rate to 2% shortly and there are annual fees of £60 and its only on balances up to £20k. So £400 max interest becomes £340 after fees - so basically 1.7%. The cash back is a bit of a red herring as you get that with most current accounts.
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Post by propman on Aug 11, 2016 11:04:49 GMT
My wife and I have 3 123 accounts with Santander. We get 3% interest and cashback for many utilities AND 100% protected by the government. ZOPA and RS access and rolling markets are also giving c3%, with NO PROTECTION (other than SG and PF). Surely the market, or its investors, are seriously mispricing risk on these products? This is a sweetener to get your business way above the general risk free rate. I agree it should be used first, but shouldn't be seen as the standard beyond that.
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ashtondav
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Post by ashtondav on Aug 11, 2016 11:48:20 GMT
Thats rumour. I am getting 3% gross, £600pa, plus £70pa in cashback (not a red herring. Thats what i'm getting).
Like I say, mispriced risk.
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Post by jonboy73 on Aug 11, 2016 12:50:15 GMT
TSB will give you 5% on 2k.
LLoyds (club Lloyds) will pay you 4% on 5 or 6k (I forget exactly)
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Post by propman on Aug 11, 2016 14:00:05 GMT
Natwest will give you higher Cashback as well.
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ashtondav
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Post by ashtondav on Aug 11, 2016 17:16:56 GMT
Yeah but thats for small amounts. The likes of NW and LL etc with £2,500 and £5,000 is quite frankly chicken feed. I'm talking £60K, fully protected at 3%
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Aug 15, 2016 12:35:31 GMT
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Post by Financial Thing on Aug 15, 2016 13:51:01 GMT
Yeah but thats for small amounts. The likes of NW and LL etc with £2,500 and £5,000 is quite frankly chicken feed. I'm talking £60K, fully protected at 3% Sounds like you're just rolling in money. Maybe give some of it away to a good charity or I have a cheap bridge for sale in Hull, fully protected at 6%?
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stevio
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Post by stevio on Aug 15, 2016 14:26:42 GMT
Is this is more about current accounts than Zopa, maybe best in General Mods
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ashtondav
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Post by ashtondav on Aug 15, 2016 17:28:40 GMT
No, its about ZOPA v Risk free rates. Pretty damn important.
And as of today (Grrrrrrrr) ZOPA instant is twice the rate of risk free for anyone with a decent wedge.
So, thanks to the BoE, ZOPA regains its risk adjusted rating from me.
And to think in 2007 I was getting 6.5% on risk free 5 year money...
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Post by cautious on Aug 15, 2016 18:36:52 GMT
It's all OK though because the BoE mpc feel 'sorry' for savers.....I heard them....they really said it....probably whilst standing by their printing press.
In the meantime I am increasing my Zopa lending......I feel I have little option because I live on my savings income.
Ho hum.
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