Nationwide International has announced that it is planning to pass on the full impact of the recent base rate rise to its savings account customers.
From February 1st 2007, all people who are looking to save money with a variable-rate sterling savings account will find their interest increasing by 0.25 per cent with the offshore subsidiary of Nationwide Building Society.
This raises the prospect that people who have been saving up for a major purchase such as an extended holiday or a deposit for a house will see their savings accumulate more rapidly.
To demonstrate the new savings rates, Nationwide International has pointed out that people with its base rate tracker savings account, in which interest is paid annually, will now receive 5.45 per cent annual equivalent rate.
This compares favourably to the 5.2 per cent offered previously.
"I'm delighted to pass on a full 0.25 per cent increase following the latest quarter per cent rise in the Bank of England's base rate," commented Carl Gandy, managing director of Nationwide International.
"This leaves us well placed to continue providing highly competitive rates."
The move follows the Bank's decision on January 11th to raise the base rate to 5.25 per cent.
Financial services provider increases savings rates
Financial services provider increases savings rates
Tue, 30 Jan 2007
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