Update! Santander First Home Saver Account: 5% on up to 50k savings (up to 35 only)

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Comments

  • Hodlaw
    Hodlaw Posts: 1 Newbie
    edited 28 October 2010 at 10:17PM
    I have followed this thread with a great deal of interest. Having started a first time saver with Santander and subsequently re-reading the documents I spotted the loophole referenced to above regarding overpaying. Over the past week I have been in and out of my local branch speaking to a number of different representative from the bank to enquire into the wording of the documents and the clear contradiction at the centre of the terms and conditions.

    I am afraid to say that after two hours in the branch today in which I finally was handed a phone and given the number of a senior manager at head office. The line from the bank is that they would not honour any individual overpaying into this account and would look to close the account directly.

    That said; in the perverse nature of my meeting with the bank this morning. Which concluded with me sitting in the branch mangers chair speaking to head office while a small gang of Santander employees sat in the customer chairs waiting for me to tell them their own banks official line. On standing to leave the room one employee commented that he have never heard the bank close an account on these grounds and would be opening and overplaying into an account straight after our conversation.

    Read into that what you will? Personally I am going to opt not to overpay as it would involve touching a number of over savings accounts which while not paying 5% are turning over a relatively strong yield. However if you wanted to risk it I have a very strong feeling that you would get away with it without the bank even knowing.
  • amictus
    amictus Posts: 301 Forumite
    owains wrote: »
    Just thought I'd post an update. I transferred an additional £5000 into my account last month, and confirmed in my local branch that my account was still operating. They were unable to give me any information about interest reverting back to the higher 5% rate, saying that it was all calculated automatically at the end of the financial year. So... fingers crossed until then I guess!

    Not sure if it is of any use... but I haven't heard anything from Santander about the additional £5000 deposit I made in July. So, I'm assuming that I only incurred the interest rate penalty for that month and it has since reverted back to the higher 5% rate. However, as I said previously, I have been unable to confirm this.
  • BigCat9101
    BigCat9101 Posts: 6 Forumite
    Hi,

    Please can someone confirm that this account is open for new business. After clicking on the apply now button it says sorry page not available - would be really grafeful for any responses. I have my fingers crossed it is allowing new people as it were as I have been watching this account for many months and only now have a certain amount to deposit.

    Many Thanks
  • xiox
    xiox Posts: 77 Forumite
    First Anniversary Combo Breaker
    BigCat9101 wrote: »
    Hi,
    Please can someone confirm that this account is open for new business. After clicking on the apply now button it says sorry page not available - would be really grafeful for any responses. I have my fingers crossed it is allowing new people as it were as I have been watching this account for many months and only now have a certain amount to deposit.
    You have to apply in-branch for the account. The website implies you can apply by clicking on apply, but it doesn't let you. As far as I know it is still available.
  • housesitter
    housesitter Posts: 545 Forumite
    First Post
    edited 24 November 2022 at 5:41PM
    [Deleted User]: is your account still alive and well ?
  • sveika
    sveika Posts: 110 Forumite
    Can I ask how can you pay in £40k without the bank even noticing that? By cheque? Thanks.
  • preston87
    preston87 Posts: 2 Newbie
    This works. I opened a first home saver in March 2009 and deposited 45k in the first month. Each month after I deposited £100. In March 2010 i got 5% interest on the full balance for 11 months. The lower rate of interest only applied to the month in which I overpaid.
  • apt
    apt Posts: 3,188 Forumite
    Name Dropper First Post First Anniversary
    That's a good move in the short term, but paying in £45,000 will cutdown the period you can hold this account because of the £50,000 limit.
  • donkingkong
    donkingkong Posts: 123 Forumite
    apt wrote: »
    That's a good move in the short term, but paying in £45,000 will cutdown the period you can hold this account because of the £50,000 limit.

    @ £100pcm it'd be just over 4 years before you hit the £50k limit. Guess it depends on when people want to use the cash.
  • N1AK
    N1AK Posts: 2,903 Forumite
    First Anniversary First Post
    donkingkong wrote: »
    @ £100pcm it'd be just over 4 years before you hit the £50k limit. Guess it depends on when people want to use the cash.

    Exactly :)

    Chances are you'll be able to get 5% somewhere else in 3+ years, or at least close. I don't think many people are expecting to see interest rates stay this low into the middle to the decade.
    Having a signature removed for mentioning the removal of a previous signature. Blackwhite bellyfeel double plus good...
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