Product Update

Flexclusive Saver, Champion ISA and Champion Saver

01 February 2012

Nationwide Building Society today announces the new interest rate for Champion ISA and Champion Saver. At the same time, the Society will also be introducing a new issue of its Flexclusive Saver account. All changes come into effect from today, Wednesday 1 February.

Flexclusive Saver
The Society is today launching Issue 2 of Flexclusive Saver, the branch-based account that is only available to existing Nationwide FlexAccount holders who have credited at least £750 into their account in the last three months1.

Issue 2 is an instant access account that guarantees to pay at least 1.50% above the Bank of England Base Rate until 1 January 2014.

Champion Saver and Champion ISA
From 1 February 2012:

  • Champion Saver2 will pay a rate of 2.01% gross p.a./AER* for balances over £1,000. This rate continues to be the average rate offered by the top five branch-based instant access, limited access and notice accounts from a basket of eight key competitors.
  • Champion ISA3 will pay a rate of 2.01% gross p.a./AER* for balances over £1,000. This rate continues to be the average rate offered by the top five branch-based cash ISAs from a basket of eight key competitors. This rate continues Nationwide’s pledge to ensure that its Champion ISA interest rate will always match or beat its current Champion Saver interest rate, helping savers to get the most from their tax free savings.

Notes to editors:
* AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest were paid and compounded once each year. The gross rate of interest is the interest rate payable before any income tax is deducted (if customers do pay tax).

1 To qualify as a main FlexAccount holder, you have to hold a FlexAccount with a Visa debit card (not a cash card+) and:

  • Pay in £750 or more each month (excluding internal transfers), or:
  • Agree to complete an Account Transfer from an account (non Nationwide) using our Account Transfer Service or have done so in the past four months.

Rates for Flexclusive Saver – Issue 2, effective 1 February 2012

FLEXCLUSIVE SAVER

Gross p.a./AER (variable)

£1 - £999.99

0.10% fixed

£1,000+

2.00%**

**Rate guaranteed to pay at least 1.50% above Base Rate until 1 January 2014. Any changes will be made within one month of a Bank of England Base Rate announcement.

  • There is no introductory bonus paid on Flexclusive Saver

2 Champion Saver

Champion Saver’s core rate is based on an average of the top five paying branch-based instant access, limited access and notice accounts (including any bonuses) published on www.moneyfacts.co.uk, available from Santander, Barclays, Halifax, HSBC, Lloyds TSB, The Co-operative Bank, NatWest and Royal Bank of Scotland. ISAs, Fixed Rates, Regular Savings and Age-Specific Accounts have been excluded.

Rates are calculated on the second Monday of each month and come into effect from the 1st of the following month.

RATES FOR CHAMPION SAVER, EFFECTIVE FROM 1 FEBRUARY 2012

The minimum opening balance of Champion Saver is £1,000. The balance must be £1,000 or more to achieve the rate.

RATE FOR CHAMPION SAVER, EFFECTIVE 1 FEBRUARY 2012

Account

Net (variable)

Gross p.a. (variable)

AER (variable)

£1,000+*

1.61%

2.01%

2.01%

For balances under £1,000 a fixed interest rate of 0.10% gross p.a./AER applies.

3 Champion ISA

Champion ISA’s core rate is based on the average of the top five paying branch-based cash ISAs (including bonuses) published on www.moneyfacts.co.uk from Barclays, Halifax, HSBC, Lloyds TSB, The Co-operative Bank, NatWest, Royal Bank of Scotland and Santander. Rates are calculated on the second Monday of each month and come into effect from the 1st of the following month.

Excluded accounts:

  • Cash ISAs that cannot be opened and/or operated through a branch.
  • Fixed rate cash ISAs.
  • Fixed term cash ISAs.
  • Regular savings cash ISAs.
  • Cash ISAs that do not accept transfers of existing ISA funds.
  • Cash ISAs no longer available for sale.
  • Cash ISAs linked to an investment product.
  • Cash ISAs specifying particular age restrictions.

Included accounts:

  • Instant access cash ISAs that can be opened and operated in branch.
  • Limited access cash ISAs that can be opened and operated in branch.
  • Notice cash ISAs that can be opened and operated in branch.
  • Current account linked cash ISAs that can be opened and operated in branch.

RATES FOR CHAMPION ISA, EFFECTIVE FROM 1 FEBRUARY 2012

The minimum opening balance of Champion ISA is £1,000. The operating balance must be £1,000 or more to achieve the rate.

RATE FOR CHAMPION ISA, EFFECTIVE 1 FEBRUARY 2012

Account

AER*/tax-free (variable)

£1,000+*

2.01%

For balances under £1,000 a rate of 0.25% AER*/tax-free variable applies.

About Nationwide Building Society
Nationwide is the world's largest building society as well as one of the largest savings providers and a top-three provider of mortgages in the UK. It is also a major provider of current accounts, credit cards, ISAs and personal loans. Nationwide has around 15 million members.

Since the credit crunch began in 2007, Nationwide has remained profitable against a very difficult economic environment. In the half year ending September 2011 Nationwide made a strong underlying profit of £172 million – up 17% from the previous year. Its strong financial performance and prudent business model means that Nationwide is included in Global Finance magazine’s Top 50 Safest Banks in the World.

Nationwide has around 700 branches and customers can manage their finances in branch, on the telephone, internet and post. The Society has around 16,000 employees. Nationwide's head office is in Swindon with administration centres based in Northampton, Bournemouth and Dunfermline. The Society also has a number of call centres across the UK.

Please note: If you are a customer looking for information on our products and services, please visit the main website.