Nationwide issues warning to anyone who has a savings account

Nationwide issues warning to anyone who has a savings account
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Nationwide has issued a warning to anybody with a savings account - as it CUTS rates. Nationwide has announced adjustments to savings rates in response to the Bank of England Bank Rate decrease of 0.25% on 1 August.

Rates affected will change as of 1 November 2024. Nationwide will lower rates by between 0.10%-0.20% in what will be the first reduction across the savings book since 2020, although no account will receive the full 0.25% reduction.

The majority of accounts aimed at encouraging a regular savings habit are not being reduced, with both the Flex Regular Saver 3 (6.50%) and FlexOne Saver (5.00%) accounts unchanged. Following the changes, Nationwide remains committed to offering a competitive alternative to the high street banks that appeals to all types of savers.

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Tom Riley, Nationwide’s Director of Retail Products, said: “We have worked hard to limit the impact of the recent rate cut on our savers and have taken the decision to not reduce rates on those accounts encouraging a regular savings habit. Following these changes, our savings range will remain competitive, and we’ll continue to give savers every reason to put their money with Nationwide."

It comes as Nationwide subsidiary The Mortgage Works will be reducing rates by up to 0.55 percentage points across selected buy-to-let products for new and existing customers with the new rates effective from tomorrow, Thursday 3 October.

New customer buy-to-let rate reductions include: Two-year fixed rate at 3.59% (remortgage), with a 3% fee, available up to 65% LTV (reduced by 0.25%), Two-year fixed rate at 3.84% (remortgage), with a £3,995 fee, available up to 65% LTV (reduced by 0.25%), Five-year fixed rate at 3.79% (remortgage), with a 3% fee, available up to 75% LTV (reduced by 0.10%).

Switcher buy-to-let rates reductions include: Two-year fixed rate at 3.59%, with a 3% fee, available up to 65% (reduced by 0.20%), Three-year fixed rate at 3.74%, with a 3% fee, available up to 65% LTV (reduced by 0.10%), Five-year fixed rate at 3.74%, with a 3% fee, available up to 65% LTV (reduced by 0.10%) and Two-year fixed rate 3.84%, with a £3,995 fee, available up to 65% LTV (reduced by 0.55%)

Joe Avarne, Senior Manager at The Mortgage Works, said: “We are making further rate cuts to ensure that The Mortgage Works continues to be front of mind for new and existing customers when they are coming to the end of their current deal.”