Tag Archives: rate

Nationwide Building Society is offering 2% interest rate – customers should note key date

This is via the Nationwide FlexDirect account, a current account which can be opened and managed online. It offers a two percent AER interest rate on certain balances, fixed for 12 months.

This applies to balances up to £1,500, earning 1.98 percent gross per year.

If balances exceed this threshold, the portion over the limit will not earn any interest, however the two percent rate will still apply to the first £1,500.

Customers should be aware that this introductory rate is only fixed for the first 12 months after account opening.

After this time, a reduced interest rate will apply to any amount in the account up to £1,500.

This ongoing variable rate currently stands at 0.25 percent AER (0.24 percent gross per annum) on balances up to £1,500.

As such, it may be customers want to make a note of when this 12 month period is up, as the interest rate will drop significantly.

However, to get this two percent rate, there is a requirement to fulfil.

This is that customers will need to pay £1,000 per month into the account.

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It’s important to note that this £1,000 does not count transfers from other Nationwide accounts or Visa credits.

On the Society’s website, it states the rates are correct as of May 1, 2020.

It adds that the rate can be changed at any time.

That said, those within a fixed rate deal would not be affected during that time.

Nationwide states: “We’ll pay the two percent rate on the first account you open in just your name.

“Plus, if you want to share another account with someone else, we’ll pay the two percent rate on the first joint account you open with them.”

Nationwide also explains the offer is only open to new customers, except for in a certain circumstance.

“If you’ve had a FlexDirect before, you won’t receive this offer again, unless your new FlexDirect account is in a different name or names,” it states on the website.

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This post originally appeared on Daily Express :: Finance Feed

Pound euro exchange rate 'dipped slightly' Brexit relations begin to 'sour'

The pound to euro exchange rate has been constrained to a tight range in recent weeks. However, as Brexit relations between the UK and EU begin to “sour regarding trade issues with Northern Ireland”, sterling saw a slight drop yesterday.

The pound is currently trading at a rate of 1.1639 according to Bloomberg at the time of writing.

It has seen an uptick of 0.08 percent since the minor fall yesterday.

According to Michael Brown, senior market analyst at Caxton FX, traders are looking to the European Central Bank (ECB) for its monthly monetary policy decision.

“As expected, sterling-euro remains moribund, with the cross continuing to do little more than mark time, and move in a rather uninspiring sideways direction,” he told Express.co.uk.

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He continued: “Ahead of several high-level meetings this week, UK Brexit minister David Frost called on the EU to compromise more to prevent further unrest in Northern Ireland, whilst the EU is considering tougher retaliatory measures against the UK if post-Brexit obligations aren’t implemented.

“Meanwhile, the UK government has so far avoided a showdown against Conservative rebels over foreign aid cuts but could still face a vote on the issue ahead of the G7 summit this week.

“Sterling remains suspended above the $ 1.41 and €1.16 levels versus the US dollar and euro amidst the strong UK economic outlook as economic restrictions continue to lift.

“Doubts over the June reopening are limiting GBP upside though.

“The euro has been dogged this year by the slow vaccination rollout across Europe, especially relative to the UK and US.

“But it has fought back recently following a speed up inoculations and signs of a stronger economic recovery across the bloc.

“Nevertheless, GBP/EUR has been creeping back towards €1.17 over the past four weeks.”

While the euro may have seen some growth against other currencies in recent weeks, Mr Vessey warns it is still “struggling” against the pound.

“Although scoring a 0.4 percent gain over the past three months, the euro is over five percent weaker against sterling over a six-month period,” he explained.

“The trading range of GBP/EUR has been narrowing and the weekly opening and closing rate have also been inching closer, suggesting lack of directional conviction amongst traders.”

For those eyeing a holiday in the future, the ever-changing rates could be a point of confusion.

The ever-changing traffic light travel list from the UK Government adds a further roadblock to those who would normally purchase their travel money far in advance.

While planning ahead is normally recommended, with international travel so uncertain, James Lynn co-CEO and co-founder of Currensea advises holidaymakers to hang on to their money for now.

“While it is tempting to take out foreign currency in anticipation of a holiday I would advise against this,” he said.

“Market movements are often more marginal in reality than they appear. “Especially during this volatile time, it’s safer to keep hold of your money in your UK bank account than purchasing or exchanging for holiday money.”

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This post originally appeared on Daily Express :: Travel Feed

Pound euro exchange rate ‘4% stronger year-on-year’ – euro ‘struggles’ against GBP

The pound to euro exchange rate may have seen little movement in recent days as traders await the latest monthly monetary policy decision from the European Central Bank (ECB). Despite this, experts point to a much more promising bigger picture for sterling.

According to George Vessey, currency strategist at Western Union Business Solutions, the GBP is “four percent stronger year-on-year”.

At the time of writing, the pound is currently trading at a rate of 1.1625 against the euro according to Bloomberg.

Michael Brown, currency expert at Caxton FX spoke exclusively with Express.co.uk to share his insight into the current rates.

He explained: “FX markets struggled to get out of first gear yesterday, with GBPEUR being no exception, and the cross doing little apart from tread water for the entire day.

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“New economic forecast will also be published by the ECB which will make upcoming data releases more closely scrutinised.

“The euro is about 1.5 percent below its 3-year high versus the dollar and around four percent higher than its March-end low.

“Against the pound, the euro continues to struggle though – falling for four weeks on the bounce.

“GBP/EUR is nearly four percent stronger year-to-date and is over 2.5 percent higher than its two-year average rate.”

“Meanwhile, UK-EU relations will be tested once again this week as the Northern Ireland protocol is set to be discussed.”

While the green list may be slim at present, many Britons are still planning on jetting off in the coming months.

While it may be tempting to harness some of the pound’s strength now, experts warn it is best to wait until your holiday is confirmed before rushing to exchange travel money.

“It may be tempting for many to rush to book this year’s holiday and take out holiday money now in preparation,” said James Lynn, co-CEO and co-founder of Currensea.

“However, while it is tempting to take out foreign currency in anticipation of a holiday I would advise against this.

“Market movements are often more marginal in reality than they appear.

“Especially during this volatile time, it’s safer to keep hold of your money in your UK bank account than purchasing or exchanging for holiday money.”

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This post originally appeared on Daily Express :: Travel Feed

Pound euro exchange rate ‘quiet’ as June 21 decision looms – travel money advice

The transport secretary defended the decision as a “safety-first” approach.

Mr Shapps told BBC News: “I want to be straight with people, it’s actually a difficult decision to make, but in the end, we’ve seen two things really which have caused concern.

“One is that the positivity rate has nearly doubled since the last review in Portugal, and the other is that there’s a Nepal mutation of the so-called Indian variants which has been detected.”

He added: “We just don’t know the potential for that to be a vaccine defeating mutation and simply don’t want to take the risk, as we come up to June 21.”

With so much uncertainty surrounding whether or not other popular holiday destinations will make the green list in future, experts have cited caution over exchanging travel money.

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This post originally appeared on Daily Express :: Travel Feed

Coventry Building Society is offering 'competitive' 1.05 percent interest rate – act now

Coventry Building Society is a popular option for savers with several branches as well as the option to manage an account online. With interest rates so low at the moment, savers will be looking for ways to increase their cash while keeping it safe. The Regular Saver account, the building society says, helps the “little you put away each month” to become “more than just money”.

People will be able to pay in more than once, as long as the total each month is not more than the limit.

If a payment does take a person over the £50 monthly limit, then the whole sum will be returned to them.

The monthly allowance element of this account is also particularly important when savers are paying in.

For a sum to count towards a specific month’s allowance, it must arrive before the day of the month someone opens their account.

As a result, the building society has recommended savers make sure all money for the month is paid in a few days before the monthly anniversary date of opening the account at the latest.

This is because any money which arrives after the anniversary date is counted towards the next month’s allowance.

The minimum balance for this account is £1 – making it perfect for those who are just starting a savings journey.

However, it is also important to note the rules about withdrawing money from this account.

Individuals will be able to take money out of their account if they should so need to, but there will be consequences for doing so.

Savers can expect to meet a charge equal to 30 calendar days worth of interest on the amount they withdraw.

The charge is deducted from the balance of the account when a person withdraws funds. 

For those who are interested in opening the account, there are various ways to do so.

The account can be opened online, via the telephone or by post.

Savers must be aged 16 or over in order to open this account.

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This post originally appeared on Daily Express :: Finance Feed

Pound to euro exchange rate: 'Far too familiar' low rate continues but rise from yesterday

George Vessey, UK currency strategist at Western Business Solutions, also commented on the pound to euro exchange rate yesterday.

He blamed the pound’s poor performance on the euro’s rise in inflation, saying: “For the first time in two years, Eurozone inflation rose to two percent in May, surpassing the European Central Bank’s (ECB) target and complicating the central bank’s decision next week on whether to maintain its ultra-loose monetary policy.

“GBP/EUR slipped under €1.16 as a result.

“The increase in inflation is the hot topic driving market sentiment and is likely to fuel investors’ nervousness that central banks will scale back monetary stimulus sooner than expected.

“The jump in Eurozone inflation from 1.6 percent in April followed an even sharper acceleration of consumer price growth in the US, which recently hit 4.2 percent.

“In the UK, Bank of England Deputy Governor Dave Ramsden noted inflation worries are setting in as the central bank monitors Britain’s booming housing market.

“If inflation persists and isn’t transitory as expected, we could see enhanced currency volatility as traders bet on which central banks will tighten policy first.

“GBP/EUR is currently two cents below its 2021 high, but trading over two percent above its two-year average rate.”

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This post originally appeared on Daily Express :: Travel Feed

Pound to euro exchange rate: Sterling drops again today after two month 'lows' last week

The pound to euro exchange rate has not seen much change since the bank holiday weekend, with sterling struggling to increase. Sterling “saw some downside” yesterday, according to an expert, and it is not expected to move much today.

Michael Brown, currency expert at Caxton FX, spoke exclusively with Express.co.uk about sterling’s further drop today.

He said: “Sterling saw some downside against the euro yesterday, breaking beneath the 1.16 handle once more, in what appeared to be a flow-driven move, rather than anything more fundamental.

“Today’s calendar is barren, hence it will be interesting to see whether or not the bears can maintain yesterday’s momentum.”

Yesterday, Mr Brown commented on sterling’s struggle to increase since last week.

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He explained: “Sterling starts the holiday-shortened week broadly where it ended the last, trading just shy of 1.1650.

“The market seems to have little impetus to move prices further higher.”

Mr Brown continued to say there are Purchasing Managers Index surveys due to be released this week.

However, they are unlikely to cause changes in the exchange rate.

Britons may not be allowed to travel to France quarantine free this summer, but there are a number of countries on the UK’s green list.

These include Portugal, Gibraltar, Iceland, Australia, and New Zealand.

When it comes to exchanging travel money, some travel money experts are warning customers that “preparation is key”.

James Andrews, senior personal finance editor at Money.co.uk, said: “Once there has been an official green light given on our planned summer trips, there are ways to ensure you can stretch your summer spending money as far as possible by sticking to the following tips.

“Do not exchange your money last minute at the airport, the rates are generally much less favourable than online or high-street alternatives, so preparation is key.

“If you find yourself acting on impulse, booking a last-minute break and needing to collect your euros upon your departure date, try to order them for collection in advance of your travel dates to take advantage of the best possible rates.

“For the best rates, take out a travel money card now. It doesn’t fully replace having currency in hand when you land, but once there you can use these at no cost for spending or withdrawing from a cash machine.”

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This post originally appeared on Daily Express :: Travel Feed

Pound to euro exchange rate stuck with 'little impetus to go higher' after hitting 'lows'

The pound to euro exchange rate has stayed much the same after the weekend. Last week, the value plummeted to a two month low.
The pound is currently trading at a rate of 1.1631 against the euro, according to Bloomberg at the time of writing.

This is much the same as the rate at the end of last week, with the pound trading at 1.1651 on Friday.

Michael Brown, currency expert at Caxton FX, commented on the lack of change.

He explained the strength of the pound has struggled to increase.

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“Sterling starts the holiday-shortened week broadly where it ended the last, trading just shy of 1.1650,” he told Express.co.uk.

“The market seems to have little impetus to move prices further higher.”

Mr Brown continued to say there are Purchasing Managers Index surveys due to be released this week.

However, they are unlikely to cause changes in the exchange rate.

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He added: “The data calendar is busy, with a host of PMI surveys due, though the impact of said data is likely to be rather minimal.”

Those living in England are allowed to visit a small number of places on holiday after some travel restrictions were relaxed.

Countries such as Portugal, Gibraltar, Australia and Iceland were put on the green list.

Others were put on the red or amber list, which means there are restrictions for those wanting to travel to them.

Speaking of the drop at the time, the expert stated the strength of the pound was struggling.

He said: “Sterling sank to fresh two month lows against the common currency yesterday.

“With strong month-end demand for the euro continuing, and the pound struggling to find much love.

“Today’s economic calendar is nearly completely empty, meaning that the aforementioned flows will remain the main driver of price action.”

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This post originally appeared on Daily Express :: Travel Feed

Pound euro exchange rate springs back from ‘two-week lows’ but 'Brexit woes on horizon'

The pound to euro exchange rate remains “rangebound” after a sudden drop yesterday. According to experts, yesterday sterling fell to a “two-week low” before recovering its former position all within 24 hours.
The pound is currently trading at a rate of 1.1598 against the euro according to Bloomberg at the time of writing.

Speaking exclusively to Express.co.uk, Michael Brown, currency expert at Caxton FX, explained his insight into the current exchange rate.

“Sterling touched two-week lows against the euro yesterday, though that is a less significant milestone than it sounds given the tight trading range of late, and the pound’s losses have been recovered overnight,” he said.

“Another quiet data docket lies ahead, likely leading to a rather quiet trading day once more.”

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“That has supported sterling alongside data releases last week that showed British inflation more than doubled in April and UK unemployment unexpectedly fell between January and March.

“The key question is whether rising inflation will impact the Bank of England’s (BoE) monetary policy, prompting it to raise rates sooner.

“Brexit is at the margins of the headlines, but several issues are yet to be resolved.

“Any impasse in talks about the services sector could weigh on the pound.”

Though the pound is currently back in a “rangebound” position, Britons jetting off to “green list” European destinations may be hoping to swap their travel money before any significant changes occur.

While rates may be steady now, experts warn holidaymakers should not rush into buying travel money.

James Lynn, CEO and co-founder of Currensea, explained: “While it’s excellent news international travel is opening up, the proposed traffic light system will mean there will still be an element of disruption this summer, both to travel companies and consumers.

“Extra caution and careful planning will be really important when it comes to planning holidays this year – and keeping abreast of the latest updates will be key.

“Financial safety when travelling must also be top of mind for consumers. Sudden changes and cancellations, which remain likely could put travellers at risk if the right precautions aren’t taken.”

Holidaymakers should instead wait until they are certain their destination is on the “green list” and their travel plans are going ahead before purchasing their foreign currency.

“For those looking to travel abroad this summer, following the pound and keeping an eye on both exchange rates and the latest travel announcements are some of the best and most simple ways to make sure they get the most for their money,” added Ian Strafford-Taylor, CEO at travel money specialist FairFX.

“Although 12 countries and territories appear on the approved green list, holidaymakers will be hoping for more positive news at the next review in three weeks’ time, as many of our favourite summer destinations are still in the precarious amber category.”

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This post originally appeared on Daily Express :: Travel Feed

Pound to euro exchange rate: Sterling had a 'poor' day yesterday – travel money latest

After being pulled beneath the 1.16 handle yesterday morning, sterling has since not moved much and remained there throughout the day. The pound’s performance today is expected to be the same due to a quiet financial calendar, according to one expert.
Yesterday, Mr Brown explained that sterling was not able to benefit this week from “the broadly weaker dollar to the extent that other core G10s have been able to”.

He predicted a poor performance from the pound, saying: “This morning’s inflation data, although likely to show a spike in UK prices, will largely be ignored given it is skewed by a range of one-off factors.

“Therefore, another rangebound day may lie ahead.”

George Vessey, UK Currency Strategist at Western Union Business Solutions, also gave his insight on the current pound-euro and pound-dollar exchange rates yesterday.

Mr Vessey said that the pound’s poor performance is due to the euro’s strength as Europe’s economies start to reopen post-lockdown.

However, the UK’s inflation rate has increased in recent months, and if the pound could strengthen if this continues.

“The post-lockdown spending spree in the UK has begun, as the UK’s inflation rate doubled in the month of April,” Mr Vessey explained.

“Consumer prices climbed 1.5% from a year earlier last month following a 0.7% rise in March.

“Sterling’s reaction was generally muted, but it could strengthen if this higher inflation trend persists.”

The Currency Strategist added: “GBP/USD is hovering just shy of $ 1.42 after a strong jobs report hoisted sterling higher yesterday.

“GBP/EUR is back under the €1.16 mark though following broad-based euro strength as European economies continues to slowly reopen.”

So, what does this all mean for your travel money?

The ban on international travel was lifted on Monday, May 17, meaning that Britons are now permitted to holiday abroad.

The UK’s travel traffic lights system means that holidaymakers can travel to “green” countries without having to quarantine on return.

However, travel experts have warned that “extra caution” is due in the coming weeks when booking holidays and swapping travel money.

James Lynn, CEO and co-founder of Currensea, said: “While it’s excellent news international travel is opening up, the proposed traffic light system will mean there will still be an element of disruption this summer, both to travel companies and consumers.

“Extra caution and careful planning will be really important when it comes to planning holidays this year – and keeping abreast of the latest updates will be key.

“Financial safety when travelling must also be top of mind for consumers. Sudden changes and cancellations, which remain likely could put travellers at risk if the right precautions aren’t taken.”

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This post originally appeared on Daily Express :: Travel Feed