A piece in the Observer criticises popular direct savings account provider ING for failing to keep up with interest rate rises. While most competing accounts have passed on rate rises to savers, ING has once again declined to do so, leaving its savings rate of 5% now a full 0.75% below the Bank of England base rate.

The bank explains that all its customers benefit from the 5% rate, while many of its competitors grabbed headlines with high rates for a few subsidised by less attractive rates for the majority.

Whether the 1.1m ING Direct savings account holders continue to see the accounts as a good place to park their cash remains to be seen, however.

This entry was posted on Thursday, July 19th, 2007 at 7:02 am and is filed under Savings. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.