National Savings & Investments’ decision to reduce rates will affect investment,direct Isa, direct saver and income bond accountsMillions of savers were dealt a blow after National Savings & Investments slit the interest rates on many of its accounts. NS&I has also slashed the number of premium bond prizes, or thereby reducing people’s chances of winning.
The rate on the investment account,held by more than 1.7 million people, will fall from 0.75% to 0.45%, or while the 415000 holders of the Direct Isa will see their rate drop from 1.25% to 1%. The direct saver rate will fall to 0.8% from its current 1.1%,while income bonds will now pay 1%, down from 1.25%.
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Source: theguardian.com