... Also, after the bomous period, the society is free to do what it likes with the interest rates, and knowing Scarborough, they will. What's more, you must give around 60 days notice to withdraw from the bond - I wonder why... ;)
Also, after the bond has matured (15 months from opening), ... Read review
Advantages: The bonous bonds do offer a reasonable rate, but it could be beaten elsewhere. Disadvantages: The notice period, bonous, variable rate, transfare account ect.
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The golden rule with Scarborough (and anywhere else for that matter) is to read the small print carefully. Don't just sign up when you see the headline rate. Does it contain a bonous? Is it fixed or variable rate? Is the account for a certain period of time? Most importantly, what is the notice period on the account?
You really should be on your guard with this one. On the surface, the savings accounts look very attractive (especially the Bonous Bond range). But be warned - they contain a bonous of around 1.5% (fixed) payable for the first few months, and then the rate drops by a significant amount. Also, after the bomous period, the society is free to do what it likes with the interest rates, and knowing Scarborough, they will. What's more, you must give around 60 days notice to withdraw from the bond - I wonder why... ;)
Also, after the bond has matured (15 months from opening), the balance is not reinvested in another bond - instead it is transfared into a 1st Postal account earning an appauling rate on your capital. MOVE IT! Don't forget about and leave it where inflation can eat away at it, check out all the best accounts on the market and invest there.
The golden rule with Scarborough (and anywhere else for that matter) is to read the small print carefully. Don't just sign up when you see the headline rate. Does it contain a bonous? Is it fixed or variable rate? Is the account for a certain period of time? Most importantly, what is the notice period on the account?
Advantages: postal account Disadvantages: lowering interest rates seemingly unjustifiably
The ScarboroughBuildingSociety today announces their new investment rates. In general there is a drop of 0.25 % on many of the accounts it offers.
I am seriously looking around to determine whether I can get better interest rates from an instant access account than from the postal notice accounts on offer from the society. It always pays to check the interest rates on a regular basis with societies that reduce their rates at times when there has been no reduction in base rates.
I suppose one of the benefits that may come from the society is if they demutualise. (see comments on www.themoneybag.co.uk for more information on this subject) ...
When we took out a mortgage a few years ago, we knew nothing about it before we started. In order to get the best deal, I researched all the options very thoroughly.
In the end we opted for a flexible life-time discount from the Scarborough. Of course it is up to the individual borrower what type of mortgage they wish to take out, but having decided we wanted a flexible discount, we opted for the Scarborough for the following reasons:
It is not a "bells and whistles" mortgage, no cashback etc, instead they offered a good product at a good rate.
They were very patient when we phoned up and helped us through it
They are a buildingsociety and have the ethics and customer care of a buildingsociety
Most importantly, there are no penalties or tie-ins attached to the mortgage, so we're free to change our minds at any time. (in ...
