Time to lock in deposit interest rates?

What do people think one should now do with bank deposits?
Lock into one of the 18 month deposits?

If yes, which ones?

INBS are offering 6.00% for terms of 6,9 or 12 months. Min is 20k and no maximum

Bank Of Ireland - 18 month fixed rate 8% (5.26% EAR)
* Minimum deposit €3,000, No maximum
* Access up to 10% before December 31st 2008 and 10% again before the term ends

Permanent TSB 10% over 20 months (5.89% AER)
Anglo Irish Bank 6% over 1 year (6% AER)
Halifax, Irish Nationwide, EBS 5.6% over 1 year (5.6% AER)
Minimum deposits & Restrictions on withdrawals may vary.

plus others mentioned here

I am wondering if I should take some money out of Northern Rock and put it in with EBS…

Not being smart, but do you have a fully functioning crystal ball because this is the only way I know to answer this question. Personally I wouldn’t lock up any money at present but then again my financial accumen is not the best.

Do it fast. Maybe put it in the biggest bank there as the rest of them are an awful risk!

Savers are again penalised for been prudent just like in 2001-2006 before rates were giving a bit of return.

It depends on whether you see yourself leaving money on deposit for that length of time:

  • not needing it before then - through change in circumstances
  • not getting a better return elsewhere (through a different investment)

I am doing the same weighing up at the moment, both in terms of whether I want to lock some away and what proportion of my savings…

I am saving to buy a house and can’t see myself doing anything with the money for a while - so I’m ok there. Can’t imagine I want to do anything too silly with the money for that reason.

I’ve been getting the impression that EBS seem reasonably ok - anyone disagree?

Also, try and be sure to put it in a bank that will exist at the end of the term.

It’s hard to know what to do, I have just closed a ECB tracker with 1st Active before lunch and was thinking of putting the money in with NIB fixed for 6 months at 5.45 pc. I’m assuming they are safer than all of the Irish banks !! as I dont want the hassle of chasing down a Danish bank for my money back. Does anybody know, what the CDS’s for Danske are at the moment compared to our own banks ? Thanks

No time to be a rate wh*re in my view
Go for safest bank you can find

Don’t know the CDS’s, but if the Danish Kroner comes under severe pressure, their deposit protection could be significantly lower in Euro terms right at the very time you’ll be looking to make use of it. Worth considering.

Valid point.

Thanks for that conor_mc, I didnt consider that at all, a very good point.

Is it crazy to keep your money in An Post? It was the safest option until the Government guaranteed the deposits and loans of the world and its mother.

does the Irish Nationwide fixed term account qualify as a share account?

So far, Fortis is not included in the extended guarantee, so your savings are guaranteed to 100k (if you are in Postbank). If you are not in Postbank, I can’t see that the post office savings account is any safer than any of the others except in the regard that it is practically inconceivable that An Post would close down. So there is no danger of having to go through whatever hoops are designed to get your money back from the guarantee scheme.