Best of the Week
Most Popular
1. Dollargeddon - Gold Price to Soar Above $6,000 - P_Radomski_CFA
2.Is Gold Price On Verge Of A Bottom, See For Yourself - Chris_Vermeulen
3.Dow Stock Market Trend Forecast 2018 - Nadeem_Walayat
4.Gold Price to Plunge Below $1000 - Key Factors for Gold & Silver Investors - P_Radomski_CFA
5.Why The Uranium Price Must Go Up - Richard_Mills
6.Dow Stock Market Trend Forecast 2018 - Video - Nadeem_Walayat
7.Jim Rogers on Gold, Silver, Bitcoin and Blockchain’s “Spectacular Future” - GoldCore
8.More Signs That the Stock Market Will Rally Until 2019 - Troy_Bombardia
9.It's Time for A New Economic Strategy in Turkey - Steve_H_Hanke
10.Fiat Currency Inflation, And Collapse Insurance - Raymond_Matison
Last 7 days
Prepare for the Stock Market’s Volatility to Increase - 19th Sep 18
The Beginning of the End of the Dollar - 19th Sep 18
Land Rover Discovery Sport 'Approved Used' Bad Paint Job - Inchcape Chester - 19th Sep 18
Are Technology and FANG Stocks Bottoming? - 18th Sep 18
Predictive Trading Model Suggests Falling Stock Prices During US Elections - 18th Sep 18
Lehman Brothers Financial Collapse - Ten Years Later - 18th Sep 18
Financial Crisis Markets Reality Check Now in Progress - 18th Sep 18
Gold’s Ultimate Confirmation - 18th Sep 18
Omanization: a 20-year Process to Fight Volatile Oil Prices  - 18th Sep 18
Sheffield Best Secondary Schools Rankings and Trend Trajectory for Applications 2018 - 18th Sep 18
Gold / US Dollar Inverse Correlation - 17th Sep 18
The Apple Story - Trump Tariffs Penalize US Multinationals - 17th Sep 18
Wall Street Created Financial Crash Catastrophe Ten Years Later - 17th Sep 18
Trade Wars Are Going To Crash This Stock Market - 17th Sep 18
Why Is Apple Giving This Tiny Stock A $900 Million Opportunity? - 17th Sep 18
Financial Markets Macro/Micro View: Waves and Cycles - 17th Sep 18
Stock Market Bulls Prevail – for Now! - 17th Sep 18
GBPUSD Set to Explode Higher - 17th Sep 18
The China Threat - Global Crisis Hot Spots & Pressure Points - 17th Sep 18 - Jim_Willie_CB
Silver's Relationship with Gold Reaching Historical Extremes - 16th Sep 18
Emerging Markets to Follow and Those to Avoid - 16th Sep 18
Investing - Look at the Facts to Find the Truth - 16th Sep 18
Gold Stocks Forced Capitulation - 15th Sep 18
Hindenburg Omen & Consumer Confidence: More Signs of Stock Market Trouble in 2019 - 15th Sep 18
Trading The Global Future - Bad Consequences - 15th Sep 18
Central Banks Have Gone Rogue, Putting Us All at Risk - 15th Sep 18
Gold Price Seasonal Trend Analysis - 14th Sep 18
Growing Number of Small Businesses Opening – and Closing – In the UK - 14th Sep 18
Gold Price Trend Analysis - Video - 14th Sep 18
Esports Is Exploding—Here’s 3 Best Stocks to Profit From - 13th Sep 18
The Four Steel Men Behind Trump’s Trade War - 13th Sep 18
How Trump Tariffs Could Double America’s Trade Losses - 13th Sep 18
Next Financial Crisis Is Already Here! John Lewis 99% Profits CRASH - Retail Sector Collapse - 13th Sep 18
Trading Cryptocurrencies: To Win, You Must Know Where You're Wrong - 13th Sep 18
Gold, Silver, and USD Index - Three Important “Nothings” - 13th Sep 18
Precious Metals Sector On a Long-term SELL Signal - 13th Sep 18
Does Gambling Regulation Work - A Case Study - 13th Sep 18
The Ritual Burial of the US Constitution - 12th Sep 18
Stock Market Final Probe Higher ... Then the PANIC! - 12th Sep 18
Gold Nuggets And Silver Bullets - 12th Sep 18
Bitcoin Trading - SEC Strikes Again - 12th Sep 18

Market Oracle FREE Newsletter

Trading Any Market

Halifax HBOS Bank Deteriorating Banking Services, Low Savings Interest Rates

Personal_Finance / Credit Crisis 2009 Apr 22, 2009 - 05:48 PM GMT

By: Nadeem_Walayat

Personal_Finance

Best Financial Markets Analysis ArticleFollowing the UK tax payer funded bailout of HBOS by Lloyds TSB, as anticipated the quality of HBOS banking services continues to deteriorate for example of specific note are the introduced delays in the transfer of funds to bank accounts with other institutions, this appears to be an attempt to force customers to upgrade to the fee based accounts which do appear to offer a more competent transfer process in terms of time.


An example of the delay in acting on online payment requests, on the morning of Thursday 9th of April 09 an attempt to transfer funds resulted in the actual date of the transaction being delayed by the Halifax until Tuesday the 14th of April. Whilst this was in part due to the Easter break, however most banks still normally act on instructions the same day, whereas Halifax typically adds on 1-2 full working days which are in addition to the 3 days normally required for an online BACS payment to reach accounts.

On a comparison test against the Alliance and Leicester - Transferring funds form the Alliance an Leicester to the Halifax via BACS took 2 working days i.e. the funds arrived within 48 hours.

Whereas funds transferred from the Halifax on Tuesday afternoon, did not arrive at the Alliance and Leicester until the Following Tuesday, or 7 days later.

HBOS was once held up as the people friendly bank with a huge branch network, however the collapse of the bank into the arms of LLoyds TSB looks set to push the bank towards the bottom end of the UK banks customer satisfaction league tables and likely to result in a exodus of customers to other banks that offer a better service.

Whilst the Halifax have announced a fast pay facility, however so far in my experience no transaction has been able to benefit from it, rather than introduce or publicise something that is so far not proving practical perhaps the Halifax should have kept the same day online BACS payment service intact, as customers increasingly miss payments due to increased delays in processing payments that now stretches to 5 working days or more which is set against typically a 24 hour processing period on the european mainland, and more efficient UK banks completing transfers within 48 hours, then increasingly the joint TSB / HBOS banks 30 million customer base will soon start to evaporate.

HBOS customers need to perform an urgent inventory of their savings accounts as the bank has slashed rates right across its range, for instance the banks once highly regarded web saver account that used to pay one of the most competitive rates for an online instant access has now fallen to a pittance rate of just 0.1%.

A Summery of current rates for Halifax instant access accounts without penalties for withdrawals -

Halifax Web Saver - Without Cash card - 0.10% gross

Halifax Web Saver - With cash card - 0.25% gross

For many years the rule had been that the account WITHOUT the card would PAY more interest, clearly HBOS are now targeting those that have left money with the Halifax sitting in web saver accounts.

Halifax ISA Saver - 0.10%

Halifax ISA Saver DIrect - 0.50%

Halifax Premium Savings Direct - 0.11%

Halifax Instant Saver - 0.10%

Halifax Saver Reward - 0.10%

The Competition

Whilst rates on Halifax instant access accounts have been slashed to a mere pittance, this is set against the competition which offers the following instant access accounts without penalties or special conditions.

Yorkshire Building Society 2.1%

Northern Rock Esaver 2%

Natwest 1.1%

RBS 1%

Therefore typically savers can get between X10 to X21 more by moving their cash then keeping their savings in a number of HBOS instant access savings accounts. For example saving £50,000 with the York's Building Society would yield interest of £1,050 after 12 months at 2.1%. However the same amount in an Halifax Online Web saver (without card) would yield just £50!

Subscribe to my always FREE Newsletter to get the latest analysis in you inbox

By Nadeem Walayat
http://www.marketoracle.co.uk

Copyright © 2005-09 Marketoracle.co.uk (Market Oracle Ltd). All rights reserved.

Nadeem Walayat has over 20 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis specialises on the housing market and interest rates. Nadeem is the Editor of The Market Oracle, a FREE Daily Financial Markets Analysis & Forecasting online publication. We present in-depth analysis from over 250 experienced analysts on a range of views of the probable direction of the financial markets. Thus enabling our readers to arrive at an informed opinion on future market direction. http://www.marketoracle.co.uk

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Attention Editors and Publishers! - You have permission to republish THIS article. Republished articles must include attribution to the author and links back to the http://www.marketoracle.co.uk . Please send an email to republish@marketoracle.co.uk, to include a link to the published article.

Nadeem Walayat Archive

© 2005-2018 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules