Savings interest rates over time.
Discussion
I am just looking at a couple of modest savings accounts for someone. The interest rate as of today is 0.9% per annum.
Over the past ten years I cannot imagine the rate will have been much better, but does anyone have the data regarding what has happened across the market? I need to get an interest rate to work with to calculate compound interest over that period.
The accounts are CoOp Bonus accounts. In light of the rate, this is a new interpretation of the word "bonus" I think.
this any good?
https://www.finder.com/uk/inflation-vs-savings#:~:...
Half way down the page there's a chart and table since 1980 called "Savings account interest rates trend".
https://www.finder.com/uk/inflation-vs-savings#:~:...
Half way down the page there's a chart and table since 1980 called "Savings account interest rates trend".
FriedMarsBar said:
this any good?
https://www.finder.com/uk/inflation-vs-savings#:~:...
Half way down the page there's a chart and table since 1980 called "Savings account interest rates trend".
Yes I saw that thanks. Not sure it helps, though.https://www.finder.com/uk/inflation-vs-savings#:~:...
Half way down the page there's a chart and table since 1980 called "Savings account interest rates trend".
What I need to do is this: There are two sums upon which we have paid simple interest at the rate of 8%pa over 10 years,
I need to estimate what the interest would have been, had we not done that and instead allowed compound interest at a typical deposit account rate.
Savings rates have varied a lot across providers.
Many accounts have been well below BoE base rate.
what do you want the highest possible? Average?
10% simple interest is way higher than compounding anything that's been on the market.
You could take BoE base rate
and say,
the higher of BoE base rate minus 0.2 and half BoE base rate
To give a range of what you might hope for at the 'best' end of the market.
Or should you be looking at what a 10 year bond might have offered 10 years ago?
Many accounts have been well below BoE base rate.
what do you want the highest possible? Average?
10% simple interest is way higher than compounding anything that's been on the market.
You could take BoE base rate
and say,
the higher of BoE base rate minus 0.2 and half BoE base rate
To give a range of what you might hope for at the 'best' end of the market.
Or should you be looking at what a 10 year bond might have offered 10 years ago?
OutInTheShed said:
Savings rates have varied a lot across providers.
Many accounts have been well below BoE base rate.
what do you want the highest possible? Average?
10% simple interest is way higher than compounding anything that's been on the market.
You could take BoE base rate
and say,
the higher of BoE base rate minus 0.2 and half BoE base rate
To give a range of what you might hope for at the 'best' end of the market.
Or should you be looking at what a 10 year bond might have offered 10 years ago?
Don't know!Many accounts have been well below BoE base rate.
what do you want the highest possible? Average?
10% simple interest is way higher than compounding anything that's been on the market.
You could take BoE base rate
and say,
the higher of BoE base rate minus 0.2 and half BoE base rate
To give a range of what you might hope for at the 'best' end of the market.
Or should you be looking at what a 10 year bond might have offered 10 years ago?
What I really need is an IR number to put into a compound interest calculator, which will give an end result approximately correct for a capital sum invested in a deposit account in October 2012.
Yes, I know that it is never going to be exactly right.
Gassing Station | Finance | Top of Page | What's New | My Stuff