Santander eSaver ... Max £200 per month...5%..for 12 Months

[33q]

Apparently this was launched on 14 March....telephone applications only

[okgo]

Sounds like an utter waste of time.

[Simpo Two]

It's the usual 3/4 of 5/8 of fk all, with more strings than a parachute.

Until recently, the more you had invested the higher %age rate you got. Now it seems to be backwards. Strange times... and wait until we go inverted...

[Ozzie Osmond]

Unfortunately 5% of nothing is .... nothing.

I rolled over some index-linked National Savings today. That's now indexation plus 0.05%. Yes kids, five hundredths of one percent - I can't wait to spend it!

The tax free RPI indexation is just about worth having* on your cash reserve but the additional 0.05% is a slap in the face.

• It's worth around 2% to a higher rate taxpayer - about the same as premium bonds but with a better chance of standing still rather then going backwards. Absolutely shocking.

[Simpo Two]

Talking of percentages, my Council Tax went up 4% this year.

Maybe I should invest with them!!

[Nickbrapp]

Not as good as the first direct at 6%

Or the tsb 5% on £2000 current account then a monthly saver of another 5% on £500 max

Still crap but better than nothing

[GTIAlex]

Is it best just to max out my ISA? Although I get better % in my santander current account, especially being a lower rate tax payer.

[23rdian]

Opened this.I have a few of these types of account. The telephone application went on and on but what the hell.

[Robertj21a]

Not at all sure that the financial return is worth the bother. I wonder if people have actually worked out how much they should receive each year ?

[Nickbrapp]

Robertj21a said:

Not at all sure that the financial return is worth the bother. I wonder if people have actually worked out how much they should receive each year ?

It's hardly anything, 5% of 200 in the first month before tax, so 4%
4% of 400 in the second month and so on and so forth, think it's about £100

[w1ntermut3]

Nickbrapp said:

It's hardly anything, 5% of 200 in the first month before tax, so 4%
4% of 400 in the second month and so on and so forth, think it's about £100

It's ~165 gross.

Takes about 15 minutes to set up.

Opportunity cost probably brings that down to...what, £80?

If you make more than £320/hr then why bother.

YMMMV

[GrizzlyBear]

Well, it is still 5% so may as well, you have to grab all the interest you can since the government introduced the funding for lending scheme.

[Jockman]

If you have your 3 Santander 123 accounts maxed out at £20k each then it seems a reasonable proposition thereafter. Other banks do decent regular savers too.