ING Direct UK

ING Direct is wholly owned by ING Group, one of the largest financial institutions in the world (over 85 million customers worldwide and Ł1 trillion in assets). ING Direct UK headquarters are located in Reading, its call centre being in Cardiff. The UK bank has more than 1 million clients in the United Kingdom. The entity is regulated by the De Nederlandsche Bank and FSA.

ING Direct deals mainly with three kinds of financial products: savings, mortgages, and home insurance. The Savings Unit provides the following: savings accounts, cash ISA, fixed rate savings, growth saver, and bonus saver. The account opening process is simple (can be done online or over the phone).

The ING Direct Savings Account offers a rate of 3.20% AER for 12 months. After the initial period, the rate reverts to ING Direct variable rate (now being 0.50% AER). The Cash ISA allowance is offered at a tax free rate of 2.50% AER (variable monthly interest rate which represents a simple way to save up to Ł3,600).

To clients who dislike constantly changing interest rates, the bank offers a fixed rate savings option for different periods of time (from 3 to 24 months). Depending on other conditions, the fixed rate varies between 2.50 and 3.25% AER.
ING Direct stimulates account openings by providing a “Growth Saver Account” (with a high rate of 3% for 6 months on balances of over Ł 50 000) and a “Bonus Saver Account (delivering higher rate if no withdrawals are made).

Tracker rate mortgages are 2-year (3.6% APR) and Life-time (3.4% APR). Any change in the Bank of England Base Rate influences the mortgage rate.Fixed-rate mortgages are another option which allows budget planning. These offers are limited to loans between Ł50,000 and Ł1,000,000 and can be withdrawn anytime. They are granted for a 2-, 3-, and 5-years period.
Under the standard variable rate mortgages, the client may overpay, underpay, and make payment holidays. The typical variable rate is 3.5 %. Finally, ING Direct offers home insurance cover that can be applied for easily and covered instantly.