Advice needed re Bank Interest,

[Rimms]

Over the years I have seen various topics on here regarding bank interest but never took much notice. Obviously the rate has dropped quite dramatically over the recent years and so I have lost track on how thisngs work over there.

Several years ago I opened a Garanti Bank account (on the same day I recall as a certain Mr Campbell) I opened a TL & GBP account, I have not used these accounts recently because I noticed that rather than get some interest, I was regularly paying them bank charges. So what type of account do I need to open to receive some interest?

How often is the interest paid on money deposited?

Do you have to lock in your investment for a period of time or can you make withdrawls if required.

I hear about gross rates but what can you expect to get back on say a £100,000 deposit.

Thanks in advance all.

[tinkerman]

9.75% at Finans on a 33 day account today.

[Ovacikpeedoff]

Tinkerman is this rate on a TL account?

I cannot see Turkish banks paying that rate on a sterling account. I would expect sterling rates in Turkey to mirror or be close to what rates UK banks pay.If they were paying 10% I and many others would be taking out by the suitcase.

[tinkerman]

yes TL. account

[Liz 101]

9.5% on ING's orange account, interest is paid daily, so you have access to funds anytime

[nichola]

These days anyone opening an account for the first time would be well advised to open the Orange account at ING bank.

I am still a big fan of Finansbank (great English speaking staff, decent interest rates and their Xclusive credit card offers some good benefits) but the Orange account really gives it all.

No fees or charges, you benefit from a competitive interest rate of 10 - 9.5% (interest rate changes monthly), and you can deposit and withdraw money when ever you want without penalty.

It's basically a current account with time deposit account interest rates. No more counting the days until you can withdraw cash without a penalty. And for every day your money is in there it earns interest.

It's a deliberate attempt on their part to attract people who normally tie up their cash in time deposit accounts and I can't see why anyone wouldn't want to open an account with them.

I just hope they are safe when it all goes pear shaped in Europe!

[Rimms]

Thanks all, so the £100,000 investment could return something like £9,500 per year (depending on where you bank) and of course interest rates staying around the 9.5% level. What about tax on this interest ? how much and is it taken at source ?

[nichola]

Tax is about 3% and deducted at source - I don't think the % has changed...

[Supacabby]

I was told tax was 1.5%, can someone confirm this please. I had worked out my "income" would be 10% gross, 8.5% net on my investment. I don't need this much to live on (fortunately) but every little helps!

[Liz 101]

Tax is currently 15% & is taken at source so 9.5% gross is 8.07% net

Also the max you can put into an Orange account is 98k tl