High Interest Current Accounts - Timing of Regular transfers in and out

dsio2 wrote: »

Am I at risk of something going wrong by doing it on the same day?

Only if the account balances are below the value of the transactions.

But you may lose interest if Tesco are involved, as they're the only one who send automated payments on a non-working day.

dsio2 wrote: »

I am making use of multiple high interest Current Accounts like TSB Classic and Nationwide Flex Direct. To satisfy the minimum monthly pay-in on these accounts I have set up regular transfers into and immediately out of the accounts on the same day every month. This seems to work OK but I notice the advice on the MSE website is to transfer in and out on consecutive days or even 2 days later. Am I at risk of something going wrong by doing it on the same day?

There is a possibility that a system failure could prevent a SO being paid from one account to another. If a SO then leaves an account without an expected payment going in, it could put you overdrawn. It won't be a problem if the accounts involved hold a balance equal to or greater than the SO amount (accounts earning interest should usually be in credit by a significant amount) but might be a problem for accounts that hold a small or no balance.

I automate payment for my accounts that hold balances (Nationwide,TSB,BOS etc) but do manual FPs for others (M&S,Halifax etc) checking the payment has been received before transferring it out.

I do all of my transfers (Santander, Lloyds, BoS, TSB, Tesco, Nationwide) on the same day and never had a problem. Do them mid month so weekends cannot creep up on you at beginning or end of months to miss a payment.

YorkshireBoy wrote: »

Why are you transferring in and out of Tesco when you've all those other accounts?

because I never bothered to stop the £750 a month swap seeing as it does not affect the interest and they are both permanently at 3 grand anyway