Increased savings rates from Nationwide

Nationwide Building Society is to announce that it will increase its Base Mortgage Rate (BMR) and savings rates from August 1st 2007. This announcement comes after the increase of interest rates last Thursday. Tracker mortgages will also be in line with the Bank of England Base Rate.

The bulk of the variable rate savings account will see a rise of 0.25% with many savers seeing an increase of 0.35%.

Nationwide’s BMR will be increased by 0.25% from 6.99% to 7.24% which will be approximately 0.50% less than the standard variable rates of its competitors, presuming they also increase their savings rates in accordance with the base rate.

Nationwide commented that they will provide good value to savers and borrowers with deals that are straightforward and simple to understand and customers will benefit from some of the best deals on offer.

Those that have variable rate tracker products who now want to opt for fixed payments, Nationwide are offering the ability to swap to fixed rate products without incurring an early repayment fee.

The main accounts to benefit from the increases are:-

Instant Access ISA, Monthly Income 60+, Cash Child Trust Fund, Smart, the children’s account, e-Savings, Regular Savings and CashBuilder accounts.

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