Interest Rate Payable on cash held within the Novia Cash Facility
- Cash held within the Cash Facility of any Novia product wrapper attracts interest at a gross rate of Bank of England base rate less 0.25%
- Interest is calculated on a daily basis and applied monthly on the 4th of the following month, eg interest relating to the month of August will be paid on 4th September.
- Changes to the base rate will be applied to the Cash Facility interest rate within one working day.
- Liability to tax on interest is dependent on the product wrapper involved. Please consult your adviser and the Novia Service Terms & Conditions for more information.
Rates of interest applicable are shown in the table below.
Interest rates applicable to the Novia Cash Facility
| Period | Interest Rate | |||
|---|---|---|---|---|
| From | To | Net* pa % | Gross** pa % | Gross AER*** % |
| 01/09/08 | 08/09/08 | 3.80 | 4.75 | 4.85 |
| 09/10/08 | 06/11/08 | 3.40 | 4.25 | 4.33 |
| 07/11/08 | 04/12/08 | 2.20 | 2.75 | 2.78 |
| 05/12/08 | 08/01/09 | 1.40 | 1.75 | 1.76 |
| 09/01/09 | 05/02/09 | 1.00 | 1.25 | 1.26 |
| 06/02/09 | 05/03/09 | 0.60 | 0.75 | 0.75 |
| 06/03/09 | Current | 0.20 | 0.25 | 0.25 |
* Net - interest rate paid with deduction of tax
** Gross - interest rate paid without tax deduction
*** AER - stands for annual equivalent rate and illustrates the interest rate if interest was compounded and paid at the end of the year
Interest Rate Payable on cash held within a Novia Stocktrade Account
- Novia clients may open a stockbroking account which is managed by Stocktrade and known as a Novia Stocktrade account.
- Cash held within a Novia Stocktrade account attracts interest paid by Stocktrade. Cash held will earn interest at a tiered rate below the Bank of England Base Rate (“base”), accrued on a daily basis. Details of the rates of interest are available upon request from Stocktrade.
- Interest is applied half yearly in April and October according to the terms & conditions of the Stockbroker.
- Please see the Stocktrade website for further details of interest paid on cash held within a Novia Stocktrade account at www.stocktrade.co.uk
