Nationwide Building Society pulls free £200 deal and cuts interest rates on 10 savings accounts

Nationwide has vowed to honour any applications submitted before the market-leading offer was pulled this morning at 00.01am.

The building society has also launched new issues of its Fixed Rate Online Bonds, Fixed Rate Branch Bonds and Fixed Rate ISAs today.

All previous Fixed Rate Online Bonds, Branch Bonds and ISAs were removed from sale at close of business yesterday.

The new Issues offer interest rates are between 0.4 percentage points and 0.55 percentage points lower than the previous rates available for these accounts.

The two-year Fixed Rate products paid 5.60 per cent AER in mid-September, whereas the rates now stand at 4.50 per cent AER.

On September 14, the two-year Fixed Rate Online Bond and Fixed Rate Branch Bond products offered 5.60 per cent AER, while the two-year Fixed Rate ISA was 5.6 per cent AER/tax-free.

The three-year Fixed Rate Online Bond and Branch Bond paid 5.25 per cent AER in September, while the five-year equivalents had an interest rate of five per cent AER.

Savers have been urged to act in recent weeks after the Bank of England ended its consistent hiking to the base rate.

Having increased interest rates 14 consecutive times, since September this year, the central bank has been holding rates at a 15-year high of 5.25 per cent, prompting experts to begin speculating when interest rates could be cut.

The new rates are:

• 1 Year Fixed Rate Online Bond – 4.50 per cent AER
• 1 Year Fixed Rate Branch Bond – 4.50 per cent AER
• 1 Year Fixed Rate ISA – 4.50 per cent AER/tax-free
• 2 Year Fixed Rate Online Bond – 4.20 per cent AER
• 2 Year Fixed Rate Branch Bond – 4.20 per cent AER
• 2 Year Fixed Rate ISA – 4.20 per cent AER/tax-free
• 3 Year Fixed Rate Online Bond – 4.10 per cent AER
• 3 Year Fixed Rate Branch Bond – 4.10 per cent AER
• 5 Year Fixed Rate Online Bond – 4.00 per cent AER
• 5 Year Fixed Rate Branch Bond – 4.00 per cent AER

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These rates are available for balances of £1 or more.

Nationwide’s previous Issues were:

• Year Fixed Rate Online Bond – 4.90 per cent AER
• 1 Year Fixed Rate Branch Bond – 4.90 per cent AER
• 1 Year Fixed Rate ISA – 4.90 per cent AER/tax-free
• 2 Year Fixed Rate Online Bond – 4.75 per cent AER
• 2 Year Fixed Rate Branch Bond – 4.75 per cent AER
• 2 Year Fixed Rate ISA – 4.75 per cent AER/tax-free
• 3 Year Fixed Rate Online Bond – 4.60 per cent AER
• 3 Year Fixed Rate Branch Bond – 4.60 per cent AER
• 5 Year Fixed Rate Online Bond – 4.50 per cent AER
• 5 Year Fixed Rate Branch Bond – 4.50 per cent AER.