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Old October 20th 16, 07:04 PM posted to uk.finance
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Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?
Bill.

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Old October 21st 16, 06:42 AM posted to uk.finance
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On Thu, 20 Oct 2016 20:04:10 +0100, Bill Ward wrote:


Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?
Bill.


RPI or CPI?
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Old October 21st 16, 08:02 AM posted to uk.finance
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"Optimist" wrote in message
...
On Thu, 20 Oct 2016 20:04:10 +0100, Bill Ward wrote:

Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?
Bill.


RPI or CPI?


It's RPI and it's '+' 0.01% not '*'. It makes a difference.

The Bank of England forecasts CPI inflation to be running at 1.9% this time next
year and at 2.4% in the following two years. RPI has always been higher than CPI by
maybe by as much as 1%.

To keep the purchasing power of your savings, you need to make, after any tax, at
least the value of your own personal inflation rate, which depends on the sort of
things you buy and pay for. That may be lower or higher than CPI or RPI.

You won't be able to save safely at anything over 2% currently elswhere, even on a
term bond.





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Old October 21st 16, 03:56 PM posted to uk.finance
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On Thursday, October 20, 2016 at 8:04:13 PM UTC+1, Bill Ward wrote:
Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?



I have quite a lot of them and consider them a valuable asset. You can't buy them any more; you can only renew the ones you've already got.

Unlike index linked gilts, the capital value of savings certificates does not fluctuate.

Also they aren't taxed.

And it is the RPI they are linked to, not the CPI.

Robert




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Old October 21st 16, 11:26 PM posted to uk.finance
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On 21/10/2016 07:42, Optimist wrote:
On Thu, 20 Oct 2016 20:04:10 +0100, Bill Ward wrote:


Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?
Bill.


RPI or CPI?

RPI.

--
Bill.


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Old October 21st 16, 11:30 PM posted to uk.finance
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On 21/10/2016 09:02, Norman Wells wrote:
"Optimist" wrote in message
...
On Thu, 20 Oct 2016 20:04:10 +0100, Bill Ward wrote:

Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?
Bill.


RPI or CPI?


It's RPI and it's '+' 0.01% not '*'. It makes a difference.

Sorry finger problem.

The Bank of England forecasts CPI inflation to be running at 1.9% this
time next year and at 2.4% in the following two years. RPI has always
been higher than CPI by maybe by as much as 1%.

What were the RPI figures for the past two years?
To keep the purchasing power of your savings, you need to make, after
any tax, at least the value of your own personal inflation rate, which
depends on the sort of things you buy and pay for. That may be lower or
higher than CPI or RPI.

You won't be able to save safely at anything over 2% currently elswhere,
even on a term bond.
-

Bill.
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Old October 23rd 16, 06:52 AM posted to uk.finance
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On 21/10/2016 16:56, RobertL wrote:
On Thursday, October 20, 2016 at 8:04:13 PM UTC+1, Bill Ward wrote:
Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?



I have quite a lot of them and consider them a valuable asset. You can't buy them any more; you can only renew the ones you've already got.

Unlike index linked gilts, the capital value of savings certificates does not fluctuate.

Also they aren't taxed.

And it is the RPI they are linked to, not the CPI.

Robert




Looking at our ones each £10K invested and reinvested for three year
periods since November 2007 is now worth £13,821.
In theory post BREXIt the RPI will go up on the other hand being 82 I'm
trying to avoid long term investments and live for the moment:-)
Bill.
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Old October 26th 16, 05:24 PM posted to uk.finance
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On 2016-10-23, Bill Ward wrote:
On 21/10/2016 16:56, RobertL wrote:
On Thursday, October 20, 2016 at 8:04:13 PM UTC+1, Bill Ward wrote:
Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?



I have quite a lot of them and consider them a valuable asset. You can't buy them any more; you can only renew the ones you've already got.

Unlike index linked gilts, the capital value of savings certificates does not fluctuate.

Also they aren't taxed.

And it is the RPI they are linked to, not the CPI.

Robert




Looking at our ones each £10K invested and reinvested for three year
periods since November 2007 is now worth £13,821.
In theory post BREXIt the RPI will go up on the other hand being 82 I'm
trying to avoid long term investments and live for the moment:-)
Bill.


The only conundrum I had recently was whether to renew my 5 year certs
for 3 years. If interest rates start going up to combat inflation then
it might be beneficial to have an earlier renewal date.

But in the end I decided to do nothing and let them renew for 5 years.

I wish you could still buy them, even at 0.01% + RPI.

Tim.

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Old October 27th 16, 06:28 PM posted to uk.finance
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On 26/10/2016 18:24, Tim Woodall wrote:
On 2016-10-23, Bill Ward wrote:
On 21/10/2016 16:56, RobertL wrote:
On Thursday, October 20, 2016 at 8:04:13 PM UTC+1, Bill Ward wrote:
Savers about to renew their certificates for three years are being
offered RPI * 0.01%.
Without a crystal ball how can anyone contemplate them?


I have quite a lot of them and consider them a valuable asset. You can't buy them any more; you can only renew the ones you've already got.

Unlike index linked gilts, the capital value of savings certificates does not fluctuate.

Also they aren't taxed.

And it is the RPI they are linked to, not the CPI.

Robert




Looking at our ones each £10K invested and reinvested for three year
periods since November 2007 is now worth £13,821.
In theory post BREXIt the RPI will go up on the other hand being 82 I'm
trying to avoid long term investments and live for the moment:-)
Bill.


The only conundrum I had recently was whether to renew my 5 year certs
for 3 years. If interest rates start going up to combat inflation then
it might be beneficial to have an earlier renewal date.

But in the end I decided to do nothing and let them renew for 5 years.

I wish you could still buy them, even at 0.01% + RPI.

Tim.

There is a suggestion that Pensioner Bonds may be brought back in the
Autumn statement.... if you qualify.

--
Bill.


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