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Post by Harland Kearney on Aug 7, 2020 18:22:51 GMT
thanks ozboy and Harland Kearney yes, looked at that - I was thinking this would be higher because the gov needs money now? Big question that I can't fully answer, sure others on the board can as to how the Goverment is "raising" this money. Usally the NS&I will try to not be market leading rates when it comes to instant access or any of its products. It should be noted that the income bond has some limitations that make in unable to perform some roles that instant access savers may need. Such as instant transfer to another bank account, ability to deposit and withdraw less than £500 in any single transaction. Earnings are also withdrawn not reinvested, reducing compound interest unless you are reinvesting manually. Renember that the NS&I have NO upper limit for the amount that is secured in the event of issues. So the rate should reflect this or it would be arguably competitively unfair on the banks, imagine sticking up for banks  ! (I mean, if they went kaput we'd have very very very large problems!)
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james100
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Post by james100 on Aug 7, 2020 19:58:42 GMT
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Post by dan1 on Aug 7, 2020 20:20:30 GMT
thanks ozboy and Harland Kearney yes, looked at that - I was thinking this would be higher because the gov needs money now? Usally the NS&I will try to not be market leading rates when it comes to instant access or any of its products. It should be noted that the income bond has some limitations that make in unable to perform some roles that instant access savers may need. Such as instant transfer to another bank account, ability to deposit and withdraw less than £500 in any single transaction. Earnings are also withdrawn not reinvested, reducing compound interest unless you are reinvesting manually. Renember that the NS&I have NO upper limit for the amount that is secured in the event of issues. So the rate should reflect this or it would be arguably competitively unfair on the banks, imagine sticking up for banks ! (I mean, if they went kaput we'd have very very very large problems!) I know little about this stuff but I'm keen to learn - my precursor to saying stupid stuff! I assumed the market leading NS&I rates were part of the govt bail out but aimed at savers, or more importantly those who rely on their savings. I say this because they're massively in excess of gilt yields (5 year yield is negative if I'm reading the chart correctly) - why pay retail 1.16%? I assume NS&I AUM are comparitively insignificant compared to the DMO's dealings - anyone know how much is held in NS&I? Worth remembering the BoE is directly funding UK govt spending via their overdrft facility. And be rude not to mention all that QE.
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macq
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Post by macq on Aug 7, 2020 21:39:02 GMT
Big question that I can't fully answer, sure others on the board can as to how the Goverment is "raising" this money. Usally the NS&I will try to not be market leading rates when it comes to instant access or any of its products. It should be noted that the income bond has some limitations that make in unable to perform some roles that instant access savers may need. Such as instant transfer to another bank account, ability to deposit and withdraw less than £500 in any single transaction. Earnings are also withdrawn not reinvested, reducing compound interest unless you are reinvesting manually. Renember that the NS&I have NO upper limit for the amount that is secured in the event of issues. So the rate should reflect this or it would be arguably competitively unfair on the banks, imagine sticking up for banks ! (I mean, if they went kaput we'd have very very very large problems!) I know little about this stuff but I'm keen to learn - my precursor to saying stupid stuff! I assumed the market leading NS&I rates were part of the govt bail out but aimed at savers, or more importantly those who rely on their savings. I say this because they're massively in excess of gilt yields (5 year yield is negative if I'm reading the chart correctly) - why pay retail 1.16%? I assume NS&I AUM are comparitively insignificant compared to the DMO's dealings - anyone know how much is held in NS&I? Worth remembering the BoE is directly funding UK govt spending via their overdrft facility. And be rude not to mention all that QE. The Govt raised the target for NS&I from 6 billion to about 35 billion so should be a bit left at the moment.This story and others is carried on NS&I-corporate.com or follow the about us link on the bottom of the main site - plus among other things annual accounts,performance,governance and news etc (if you want a bit of weekend reading)
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Post by Harland Kearney on Aug 7, 2020 22:39:02 GMT
Thanks for both replies, as I stated I just dont' know much and my past knoledge of how NS&I functioned is probs out of wack as the organsation is likely making record history on its goal of raising capital.
Right now, it really does seem like the instant access is market leading, can't find anywhere else if you opened a retail account today to get a better rate on instant access and withdrawal. I withdrew all my money from HL Active Savings (previously had two accounts of 1.15 and earlier in the year a 1.5 instant access) to hold parked investment ammo.
Now the rate is 0.8% on my account which is just too low to justify holding anything higher than 20k cash, compared to the NS&I rate and protection so I moved it for the time being.
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aju
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Post by aju on Aug 8, 2020 11:12:39 GMT
Thing is though everyone and their dog is piling in if reports are to be believed but I wonder what kind of hit it will take if/when the bank or others rates start to improve - assuming they will of course. I guess it will be slow movement but its a long time since I even needed or considered moving money to NS&I.
In fact whilst we have much better rates still elsewhere and will be feeding more in at the end of the month does anyone know if once we have an Income Bond there are restrictions once NS&I has met it's targets or is it the case we will be able to feed in as we like as Mrs Aju has an account now - took quite a while for initial card transfer but the bank FPI transfer was very quick.
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macq
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Post by macq on Aug 8, 2020 12:15:52 GMT
Thing is though everyone and their dog is piling in if reports are to be believed but I wonder what kind of hit it will take if/when the bank or others rates start to improve - assuming they will of course. I guess it will be slow movement but its a long time since I even needed or considered moving money to NS&I. In fact whilst we have much better rates still elsewhere and will be feeding more in at the end of the month does anyone know if once we have an Income Bond there are restrictions once NS&I has met it's targets or is it the case we will be able to feed in as we like as Mrs Aju has an account now - took quite a while for initial card transfer but the bank FPI transfer was very quick. Would guess if their getting to much money they will drop the rate rather then put a restriction on adding more as the rate is flexible(rather then the guaranteed income or Growth bonds which they withdraw and bring back with a new issue number as and when)
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Post by Duane Dibley on Aug 22, 2020 8:55:13 GMT
Could any of those posters who opened a NS&I Income Bond please tell me how long it took them?
It's been over a month ago since I tried to open one, over a month since I received an email saying there was an important message in my inbox, over a month waiting to receive a customer number so I could actually log in to read that message and over a month without being able to access my initial deposit or add any further deposits.
I appreciate that NS&I aren't a bank so you can't expect next day service and I realise they've probably never been as busy, but a month just to send assign and send out a customer number? Really?
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ozboy
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Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on Aug 22, 2020 10:11:07 GMT
Are you sure you're on the official NS&I website and not a scam one?  I recall you can deposit your money via Debit Card when you open the account online and the whole process only takes 5 to 10 minutes. I already had Premium Bonds so maybe that helps to streamline the process but your experience is FAR from normal, something is very wrong. |
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agent69
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Post by agent69 on Aug 22, 2020 10:22:20 GMT
Are you sure you're on the official NS&I website and not a scam one? I recall you can deposit your money via Debit Card when you open the account online and the whole process only takes 5 to 10 minutes. I already had Premium Bonds so maybe that helps to streamline the process but your experience is FAR from normal, something is very wrong. I have a 3 year NS & I bond (paying a lowly 2.2%) and I recently purchased £50k in premium bonds. All done on line with a debit card in no time at all.
Oh the excitement of 4th September and my first prize draw, can hardly wait.
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ilmoro
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Post by ilmoro on Aug 22, 2020 10:52:31 GMT
Are you sure you're on the official NS&I website and not a scam one? I recall you can deposit your money via Debit Card when you open the account online and the whole process only takes 5 to 10 minutes. I already had Premium Bonds so maybe that helps to streamline the process but your experience is FAR from normal, something is very wrong. I think the OPs issue is actually being able to access the account. You need a NSI number for that and thats what he is waiting for. They have done the initial bit and opened the account but cant go any further without the number. If you had PB then you already have your NSI number. Im having much the same problem as the OP, I have my NSI number but its not accepting my password and it wont let me change it online nor can I reset my memorable questions. Unlike most proper banks it doesnt seem to make use of 2FA to do these basic functions so youre stuck with phone & postal communications.
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Greenwood2
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Post by Greenwood2 on Aug 22, 2020 11:18:46 GMT
Are you sure you're on the official NS&I website and not a scam one? I recall you can deposit your money via Debit Card when you open the account online and the whole process only takes 5 to 10 minutes. I already had Premium Bonds so maybe that helps to streamline the process but your experience is FAR from normal, something is very wrong. If you have to do anything by post it can take a long time at the minute. I had to get my old PBs added to my online account (and had to send the info by post) it took over a month.
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Post by Duane Dibley on Aug 22, 2020 11:22:42 GMT
Are you sure you're on the official NS&I website and not a scam one? I recall you can deposit your money via Debit Card when you open the account online and the whole process only takes 5 to 10 minutes. I already had Premium Bonds so maybe that helps to streamline the process but your experience is FAR from normal, something is very wrong. I think the OPs issue is actually being able to access the account. You need a NSI number for that and thats what he is waiting for. They have done the initial bit and opened the account but cant go any further without the number. If you had PB then you already have your NSI number. Im having much the same problem as the OP, I have my NSI number but its not accepting my password and it wont let me change it online nor can I reset my memorable questions. Unlike most proper banks it doesnt seem to make use of 2FA to do these basic functions so youre stuck with phone & postal communications. Glad it's not just me. I already have premium bonds and index-linked certs so identity shouldn't be a problem, but as you say without a customer number you can't access anything now, and very helpfully "due to coronavirus" application forms can't be downloaded at all, all part I suspect of the government's push to doing everything online. I can't even register for a customer number by using my existing products as according to them I am "already registered", and I can't even request it by using the 'forgotten NS&I number' link in case it's been lost in the post, as my request is just ignored. The fact that NS&I are a government department should have been a clue as to their competency but hope springs eternal and I fell for it again.
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Greenwood2
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Post by Greenwood2 on Aug 22, 2020 11:36:01 GMT
I think the OPs issue is actually being able to access the account. You need a NSI number for that and thats what he is waiting for. They have done the initial bit and opened the account but cant go any further without the number. If you had PB then you already have your NSI number. Im having much the same problem as the OP, I have my NSI number but its not accepting my password and it wont let me change it online nor can I reset my memorable questions. Unlike most proper banks it doesnt seem to make use of 2FA to do these basic functions so youre stuck with phone & postal communications. Glad it's not just me. I already have premium bonds and index-linked certs so identity shouldn't be a problem, but as you say without a customer number you can't access anything now, and very helpfully "due to coronavirus" application forms can't be downloaded at all, all part I suspect of the government's push to doing everything online. I can't even register for a customer number by using my existing products as according to them I am "already registered", and I can't even request it by using the 'forgotten NS&I number' link in case it's been lost in the post, as my request is just ignored. The fact that NS&I are a government department should have been a clue as to their competency but hope springs eternal and I fell for it again. My Index Linked Certificates renewals etc have my NS&I number (which is my customer number) on them. You may have your original customer number on there.
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Post by Duane Dibley on Aug 22, 2020 11:57:37 GMT
Glad it's not just me. I already have premium bonds and index-linked certs so identity shouldn't be a problem, but as you say without a customer number you can't access anything now, and very helpfully "due to coronavirus" application forms can't be downloaded at all, all part I suspect of the government's push to doing everything online. I can't even register for a customer number by using my existing products as according to them I am "already registered", and I can't even request it by using the 'forgotten NS&I number' link in case it's been lost in the post, as my request is just ignored. The fact that NS&I are a government department should have been a clue as to their competency but hope springs eternal and I fell for it again. My Index Linked Certificates renewals etc have my NS&I number (which is my customer number) on them. You may have your original customer number on there. Thanks for the suggestion, but no I don't have a customer number as I've never registered for online services before, and can't now as they say I am registered but still waiting for my customer number by post.
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! (I mean, if they went kaput we'd have very very very large problems!)
