National Savings & Investments to end association with Post Office

National Savings & Investments (NS&I) has announced it will stop operating their accounts through branches of the Post Office. From 28th November it will no longer be possible to open Instant or Easy Access Savings accounts, although Premium Bonds will still be available. Savings accounts will only be available online, over the phone or by post following the change. NS&I say the changes will help to reduce running costs by 10% and were part of a plan to “simplify and modernise” its range of savings products whilst trying to persuade customers to deal directly. Jane Platt, chief executive of NS&I, said “We're very proud ...

Post Office launch an inflation linked bond, should you believe the hype?

The Post Office has launched the latest version of the Inflation Linked Bond. The Bond offers two terms, three years and five years and a day, with interest linked to RPI (Retail Prices Index) plus a fixed amount of 0.24% per annum on the three year version and 0.98% per annum on the longer term account. RPI generally runs higher than CPI (Consumer Prices Index) and includes the cost of mortgage interest rates, in August RPI was 5.2% and has been rising consistently over the past year or so. Richard Norman, director of savings and investments at the Post Office, said: "Since we ...

Post Office savers to receive UK protection under FSA

Savings in Post office accounts will be guaranteed under a UK system. The FSA will begin protecting Post Office savings this month. Post office savers no longer have to rely on the Irish government to protect their deposits from today. The first £50,000 of cash deposited into Post Office accounts will now be covered by the UK's Financial Services Compensation Scheme (FSCS) instead of the Irish Deposit Guarantee Scheme.