LloydsTSB Vantage Account - too good to be true?

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Mark_Beech
Mark_Beech Posts: 77 Forumite
in Budgeting & bank accounts
I was considering moving my current account away from LloydsTSB because of their stupid system of auto deleting my list of regular payees on internet banking.
Anyway .... I was thinking of moving to Halifax with their new £5 per month if you pay in £1000 per month. So I rang LloydsTSB and asked what I was presently getting for my Current Plus account and the answer is 1.99% net.
The the guy says that if I upgrade to Vantage I would get 1.59% for £1000 or more, 2.37% for £3000 and a whopping 3.14% for anything between £5000 and £7000 (all net figures).
I do tend to keep too much in my current account ....... but 3.14% is better than some of the higher interest savings accounts at the moment.
There are no charges for the account and it seems like a really good deal if I'm prepared to keep a balance of £5000+.
Is this too good to be true? Am I missing something?

Cheers
Mark
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Comments

  • withnell
    withnell Posts: 1,629 Forumite
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    Nope,. it's 4% gross on the entire balance if you keep between 5k - 7k - many people on this site use a Vantage account as a savings account!
  • mm79_2
    mm79_2 Posts: 25 Forumite
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    I opened one of these last week as it sure beats most instant access savings accounts right now!

    One question though - does anyone know when they pay interest on the account? I assume it's monthly but have yet to receive a payment as you would normally expect at month-end??
  • lindos90
    lindos90 Posts: 3,208 Forumite
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    Im about to do this with my account, as its going to give me 4%, which is more than if I reinvested my maturing bond at 3.5% with the derbyshire, and its instant access!

    two things to remember though:

    1)although it looks like a good rate, it is variable, and so they could quitly cut the rates, so you need to keep checking its still a good rate.

    2)there are several versions of Vantage, some of which are fee paying, so make sure, and triple check which one you are opening, (unless ofcourse you want to pay a monthly fee for mobile insurance/holiday insurance/etc!)
  • lindos90
    lindos90 Posts: 3,208 Forumite
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    mm79 wrote: »
    One question though - does anyone know when they pay interest on the account? I assume it's monthly but have yet to receive a payment as you would normally expect at month-end??

    Just found this on the TSB site:
    1. For each month that you meet the Vantage conditions we will work out interest on a daily basis at the relevant Vantage interest rate from the second working day of that month and add it to your account at the end of the first working day of the next month.
    HTH
  • jonesMUFCforever
    jonesMUFCforever Posts: 28,898 Forumite
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    Mark_Beech wrote: »
    I was considering moving my current account away from LloydsTSB because of their stupid system of auto deleting my list of regular payees on internet banking.
    Anyway .... I was thinking of moving to Halifax with their new £5 per month if you pay in £1000 per month. So I rang LloydsTSB and asked what I was presently getting for my Current Plus account and the answer is 1.99% net.
    The the guy says that if I upgrade to Vantage I would get 1.59% for £1000 or more, 2.37% for £3000 and a whopping 3.14% for anything between £5000 and £7000 (all net figures).
    I do tend to keep too much in my current account ....... but 3.14% is better than some of the higher interest savings accounts at the moment.
    There are no charges for the account and it seems like a really good deal if I'm prepared to keep a balance of £5000+.
    Is this too good to be true? Am I missing something?

    Cheers
    You do have to pay in a minimum of £1000per month into the account.
  • michaels
    michaels Posts: 28,004 Forumite
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    Any idea if you are allowed multiple accounts ;)
    I think....
  • Cook_County
    Cook_County Posts: 3,085 Forumite
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    Yes 7 is the most popular number - ie 7 x £7,000 = £49,000 so covered by the FSA limit of £50,000.
  • D1zzy
    D1zzy Posts: 1,500 Forumite
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    jonesMUFCforever wrote: »
    You do have to pay in a minimum of £1000per month into the account.
    But it doesn't have to stay there and internal transfers are OK. If you have more than 1 you can just move the £1000 through each of the accounts and back to the start, either manually or by SO
  • jonesMUFCforever
    jonesMUFCforever Posts: 28,898 Forumite
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    D1zzy wrote: »
    But it doesn't have to stay there and internal transfers are OK. If you have more than 1 you can just move the £1000 through each of the accounts and back to the start, either manually or by SO
    I never said it had to stay there.
  • D1zzy
    D1zzy Posts: 1,500 Forumite
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    I never said you did..:rotfl:
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