Savings account advice / AIB online 7

spix · 09-10-2011 9:30pm #1

Hi, I currently have some savings in an AIB online notice deposit 7 account. It is getting 2 percent interest as the ammount is over 10k. Why does the interest in this account drop from 3.5 to 2 percent when over 10k. I have never managed my money before, and was pretty clueless about it until recently. I have been looking at other options and it seems with most other accounts, the more money you deposit, the higher the interest rates.

If I was to withdraw all but 10k, would the interest automatically go up to 3.5 percent, or since it was a deposited as a lump sum, would the interest remain the same?

What would you recommend for the remainder of the money. Permanent TSB offer 3 percent AER on their online 40 day notice. NIB also offer 3 percent with their eSaver online account, reduced to 1 percent if you withdraw, but only for that month.

Basically I need some advice on what to do, as I know AIB isn't giving me the best interest.

I would like access to some of the money, but don't think I would need most of it for some time. Would a fixed term account suit me better then as they seem to offer higher interest? If so, what are some of the best options? I take it that its ok to have accounts with 2 different banks, again I'm new to this so sorry if its a stupid question.

Thanks in advance for the help

sungem · 09-10-2011 9:39pm

Hi, the first €10k gets 3.5% and any balance over €10k is on 2%... you are def getting the 3.5% on first €10k

spix · 09-10-2011 9:44pm

Thats good to know, but lets say there is an additional 30k. Should I settle for 2 percent on that or would it be silly leaving it there.

sungem · 09-10-2011 10:43pm

No i def think it would be worthwhile moving it... dont know about other banks but if you can do long term AIB launched a 3 year a/c on fri, min balance €25k 4.25% per year, many other shorter term a/cs in market just dont know rates offhand..

Ogham · 10-10-2011 4:53pm

Most of the top rates are listed here - 1 year fixed and instant access

http://www.moneyguideireland.com/best-savings-rates

spix · 10-10-2011 7:59pm

thanks for the link, very helpful

Savings account advice / AIB online 7

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