Regular Savings Accounts Article Discussion

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  • Lavendyr
    Lavendyr Posts: 2,566
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    ibrooks wrote: »
    No it won't because it doesn't have a facility to vary the monthly payments over the period.
    Sorry, I was only trying to help - you didn't state in your OP that you wanted to vary the monthly payments, I don't think. :)
  • Paul_Herring
    Paul_Herring Posts: 7,481
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    Crinz wrote: »
    but i take offence at you incinuating that i know nothing about what I am writing about.

    Well it does stem from others' experience on this thread from (more than one) front line staff member telling people, for example, that they are perfectly entitled to hold both a 7% and a 10% RS, despite the ambiguous T&C's indicating otherwise.

    I still don't believe that any 7% RS's maturing in the 6 week or so window will automatically get the 10% rate applied, and since it'll take anyone in this situation 12 months to find out whether or not they did get the 10% rate, it'll have been long forgotten.

    Are Halifax actively telling people who mature in this window that they can also double their maximum contribution while getting a 3% increase on their RS?

    Thought not.
    Conjugating the verb 'to be":
    -o I am humble -o You are attention seeking -o She is Nadine Dorries
  • Hi everyone,

    I'm a little unsure about savings accounts, ISAs and tax.

    I've currently got £1000 in a cash ISA, with around £2400 left to deposit, the interest rate is 6%.

    However, from September this year I will be paying around £364 per month into a savings account for the next 2 years.

    The Halifax account, with its 10% rate, seems the most profitable. Am I best opening this accoutn, taking the £1000 out of my ISA, and then making the £364 deposits into the Halifax account until the 10% rate runs out?

    Also, will I pay tax on the Halifax account? I've just left unversity and will be starting postgraduate study (part-time) in September.

    Thanks!
  • Crinz wrote: »
    whats the point in coming here to try help. never again!

    Yes, I am front-line staff working in a branch in Glasgow but i take offence at you incinuating that i know nothing about what I am writing about.

    When this launched the other day we had loads of people coming in asking about their existing Regular Savings. Some I closed down and restarted as they matured and restarted just weeks ago, and some were just about to end and would automatically convert to the 10% rate.

    http://www.halifax.co.uk/savings/regularsaver.asp

    quote: When the year’s up, your savings and interest are transferred into a nominated savings account which you'll be asked to open when you open you Halifax Regular Saver. Your Regular Saver account remains open, the interest rate applicable at the time is fixed for another year and you simply continue to save.


    when i said 'month or so' - at the moment the plan is for this promotion to be on display in branch etc until End July but as with other banks, it can be withdrawn at any time.


    again, thanks for the warm welcome.

    Crinz. Thank you for your posts. It's good to have you on the forum.
  • Well it does stem from others' experience on this thread from (more than one) front line staff member telling people, for example, that they are perfectly entitled to hold both a 7% and a 10% RS, despite the ambiguous T&C's indicating otherwise.

    I still don't believe that any 7% RS's maturing in the 6 week or so window will automatically get the 10% rate applied, and since it'll take anyone in this situation 12 months to find out whether or not they did get the 10% rate, it'll have been long forgotten.

    Are Halifax actively telling people who mature in this window that they can also double their maximum contribution while getting a 3% increase on their RS?

    Thought not.

    Providing that the product had the same T&Cs back in 2007 then surely it should automatically get the 10% ?

    " .... Your Regular Saver account remains open, the interest rate applicable at the time is fixed for another year and you simply continue to save."

    But I would certainly agree that it is always worth checking via the free "Call Me Back" option (see below) that this is indeed the case as the Regular Saver rate is not displayed anywhere on the account details section displayed via the Halifax internet banking application (unlike most other accounts).

    http://www.halifax.co.uk/savings/savingscallback.asp

    Re: increasing your contribution up to the £500 - that really is the saver's responsibility. To be fair it's much more generous than most other providers so people do need to make an effort to find out the facts and take up the offer fully if they can afford to fund it reliably over the period. :D
  • Hi, two questions;

    1) In high interest regular savings accounts such as the Halifax one, are you committed to the second year in a lower interest account with them or can you cut and run after one year? The carrot without the stick as it were.

    2) I've opened a regular savings account with Yorkshire Building Society and they seem to pay interest at the 2.85% rate until you earn the bonus at the end of the year which then gives you the 6.5% aer. This means that you lose the compound interest on the difference throughout the year (I think.), is this standard with all providers?
  • rayroy
    rayroy Posts: 4 Newbie
    I am looking to start a small monthly savings scheme for 10 years at £25 per month - any ideas where to put it ???
    Thanks
  • LittleVoice
    LittleVoice Posts: 8,975
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    Plodon. wrote: »
    Hi, two questions;

    1) In high interest regular savings accounts such as the Halifax one, are you committed to the second year in a lower interest account with them or can you cut and run after one year? The carrot without the stick as it were.

    2) I've opened a regular savings account with Yorkshire Building Society and they seem to pay interest at the 2.85% rate until you earn the bonus at the end of the year which then gives you the 6.5% aer. This means that you lose the compound interest on the difference throughout the year (I think.), is this standard with all providers?

    1) You are not committed to continue to hold the funds in the lower paying account.

    2) There is no compounding of interest through the year. In an account where interest is paid annually, it will be calculated on a daily basis but not added to the account until the year end. YBS simply separate the two elements of interest - basic and bonus - so that it is clear that if you were to close the account during the year you would only receive the basic rate of interest in that year. Actually showing the difference as clearly as YBS do is not so standard (though some others do do it that way) but the principle is the same.
  • 1) You are not committed to continue to hold the funds in the lower paying account.

    2) There is no compounding of interest through the year. In an account where interest is paid annually, it will be calculated on a daily basis but not added to the account until the year end. YBS simply separate the two elements of interest - basic and bonus - so that it is clear that if you were to close the account during the year you would only receive the basic rate of interest in that year. Actually showing the difference as clearly as YBS do is not so standard (though some others do do it that way) but the principle is the same.

    Thanks LittleVoice, brilliant :)
  • Twosheds
    Twosheds Posts: 89 Forumite
    Crinz wrote: »
    whats the point in coming here to try help. never again!

    Yes, I am front-line staff working in a branch in Glasgow but i take offence at you incinuating that i know nothing about what I am writing about.

    When this launched the other day we had loads of people coming in asking about their existing Regular Savings. Some I closed down and restarted as they matured and restarted just weeks ago, and some were just about to end and would automatically convert to the 10% rate.

    http://www.halifax.co.uk/savings/regularsaver.asp

    quote: When the year’s up, your savings and interest are transferred into a nominated savings account which you'll be asked to open when you open you Halifax Regular Saver. Your Regular Saver account remains open, the interest rate applicable at the time is fixed for another year and you simply continue to save.


    when i said 'month or so' - at the moment the plan is for this promotion to be on display in branch etc until End July but as with other banks, it can be withdrawn at any time.


    again, thanks for the warm welcome.

    Crinz - Not all subscribers are as mean-spirited as Mr Herring :mad: , but we do have a few that think that posting 2400 times makes their posts more important than everybody else's :rolleyes: so please don't be put off.

    In fact, one of his earlier posts in this thread is not 100% correct :rotfl: : the "calendar month" is exactly what it says - from the 1st of the month to the last day of the month. Halifax only state the 28th because if someone sets up a standing order for the 30th or 31st, they may miss a payment in February and therefore loose out on the t's and c's.

    I've just made my 1st payment today and it counts as my June payment, so I can make another tomorrow and 1st of each month thereafter.
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