Nationwide Ditch the Drivel and Increase Rates to Savers

Written by Karen Bryan

nationwide on your sideThis morning I received  my Nationwide Annual Savings Promise Statement.

The sentence “And no matter how challenging it is for savers at the moment, we’ll never stop searching for new ways to help you make the most of every penny.” made me angry.

Nationwide, you can stop the search right now. Ditch the drivel, do the bleeding obvious, increase the rates of interest paid to savers.

Below are some illustration of how Nationwide is not helping savers get the most of every penny.

Instant Access Accounts

As a Nationwide member of 15+ years, I can earn a rate of 1.2% on the Nationwide Loyalty Saver. Whereas, the open-to-all BM Savings Online Extra Savings (Issue 18) pays 1.6%

One Year Fixed Rate Accounts

Nationwide pay 1.65% on their One Year Fixed Rate Bond. Chartered Savings Banks pay 2.06%.

Two Year Fixed Rate Accounts

Nationwide Loyalty Two Year Fixed Rate Bond pays 2% (you need to have been a member for 1+ years to qualify). The open-to-all Secure Trust Bank pays 2.38%.

What makes the low rates of interest paid by Nationwide all the more galling, is the fact that Nationwide is a mutual building society, supposedly run for the benefit of members. That’s a joke when Nationwide’s profit increased by 54% last year, soon followed by cuts to the rate of interest paid on their Loyalty Saver.

Rates of interest correct on 18 August 2015.