More and more we find institutions like banks are playing to apathy as a way to increase profits. As an example, 4 months ago we put down a term deposit at the most 'attractive' rate at that time. That is to say that 3 months and 6 months had a slightly poorer rate than what they were offering for 4.
Today we received the renewal notice and out of curiosity I check the new rates as these - as always - weren't listed in the letter. Typically such things are automatically renewed for the same term but at 'current' rates unless you contact them, fill out a form, stand on one leg, make popping sounds and cross you eyes, etc, etc.
Significantly, the new rate for 4 months is exactly half of the rate for 3 months. You have to wonder if they were hoping that people who took out such things in August/September are either too drunk or otherwise 'indisposed' at this time of year to follow such things up. It's also not isolated, we had two such anomalies with two separate banks using the same strategy.
Update: Today (early January) we received another renewal notice from another institution and it's the inverse again. That is, 3 months is exactly half the rate for 4 months. They really try to keep you on your toes!
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