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  • FIRST POST
    • linuxpenguins
    • By linuxpenguins 18th Jun 17, 11:33 AM
    • 140Posts
    • 6Thanks
    linuxpenguins
    Savings Advice for my Millions..
    • #1
    • 18th Jun 17, 11:33 AM
    Savings Advice for my Millions.. 18th Jun 17 at 11:33 AM
    ..well, not quite!

    Okay.. I am saving as follows;

    £500 p/m into Flexclusive @ 5.00%
    £300 p/m into First Direct Regular Saver @ 5.00%

    £2,500 in FlexDirect

    I have £100 spare to save each month.. where should I put this? Happy to open another account if need be. I know it wont generate much interest but better than receiving nothing at all! - It will need to be easily accessible too.

    Thanks
Page 1
    • hbk123
    • By hbk123 18th Jun 17, 11:44 AM
    • 17 Posts
    • 2 Thanks
    hbk123
    • #2
    • 18th Jun 17, 11:44 AM
    • #2
    • 18th Jun 17, 11:44 AM
    TSB Classic Plus? 3% up to £1500 and can get an extra £5 for 2 direct debits.
    • Vortigern
    • By Vortigern 18th Jun 17, 11:45 AM
    • 2,236 Posts
    • 1,438 Thanks
    Vortigern
    • #3
    • 18th Jun 17, 11:45 AM
    • #3
    • 18th Jun 17, 11:45 AM
    If you have a spouse/partner, you could double up on the accounts you have already.

    Otherwise look at HSBC and/or M&S for opening bonuses and linked regular savers.

    Or keep things simple and use a Virgin Regular Saver for 2.25% interest on up to £250 per month. Withdrawals permitted.
    • linuxpenguins
    • By linuxpenguins 18th Jun 17, 11:59 AM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    • #4
    • 18th Jun 17, 11:59 AM
    • #4
    • 18th Jun 17, 11:59 AM
    Thanks for the comments so far

    I don't have any current accounts to switch, so I won't be able to get a bonus. When I say I don't have any to switch, what I mean is I am happy with Nationwide and FD.

    Virgin saver? I'll take a look into that one!
    • xylophone
    • By xylophone 18th Jun 17, 12:23 PM
    • 22,357 Posts
    • 12,898 Thanks
    xylophone
    • #5
    • 18th Jun 17, 12:23 PM
    • #5
    • 18th Jun 17, 12:23 PM
    I don't have any current accounts to switch
    You could always open one as a "sacrificial" account.....
    • B_G_B
    • By B_G_B 18th Jun 17, 12:32 PM
    • 377 Posts
    • 381 Thanks
    B_G_B
    • #6
    • 18th Jun 17, 12:32 PM
    • #6
    • 18th Jun 17, 12:32 PM
    You could always open one as a "sacrificial" account.....
    Originally posted by xylophone
    Or two...........
    • linuxpenguins
    • By linuxpenguins 18th Jun 17, 12:35 PM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    • #7
    • 18th Jun 17, 12:35 PM
    • #7
    • 18th Jun 17, 12:35 PM
    I recently switched a nationwide Flex account to first direct.. could I open another flexi account and then switch to tsb? I fear it may hit credit rating tho?
    • linuxpenguins
    • By linuxpenguins 18th Jun 17, 1:00 PM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    • #8
    • 18th Jun 17, 1:00 PM
    • #8
    • 18th Jun 17, 1:00 PM
    do you think I could open another flexi account and then a tsb classic plus and switch? Wouldn't Nationwide be annoyed that I opened an account and then moved it like a week later?
    • EachPenny
    • By EachPenny 18th Jun 17, 2:06 PM
    • 1,640 Posts
    • 1,955 Thanks
    EachPenny
    • #9
    • 18th Jun 17, 2:06 PM
    • #9
    • 18th Jun 17, 2:06 PM
    do you think I could open another flexi account and then a tsb classic plus and switch? Wouldn't Nationwide be annoyed that I opened an account and then moved it like a week later?
    Originally posted by linuxpenguins
    Personally I'd avoid opening too many sacrificial accounts with the same bank, I'd use a different bank for the next one and there are options which don't pose a significant risk of missing out on a future switching bonus (look for banks which have never offered a bonus for switching).

    The main reason I'd do this is to avoid getting a bad reputation with a particular bank - you never know when you might want to re-establish a relationship with them in the future and there is no point giving them an additional reason to turn you down.

    Another consideration is that unlike most other banks, Nationwide is a building society owned by its members. I'm not suggesting it is a major issue (just something to be aware of), but people 'taking advantage' of Nationwide are affecting the members (i.e. many of the people offering advice on here) rather than shareholders.

    Ok, it is selective morality to think it is ok for shareholders to suffer some loss, but not building society members - and many people offering advice on here will be bank shareholders too - but I think there is a slight distinction between the two and for me personally I feel the building society model needs to be treated with a little more respect.
    "In the future, everyone will be rich for 15 minutes"
    • linuxpenguins
    • By linuxpenguins 18th Jun 17, 2:31 PM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    so if I open a 'sacrificial account' wont they be annoyed ive opened it and moved it?
    • EachPenny
    • By EachPenny 18th Jun 17, 3:04 PM
    • 1,640 Posts
    • 1,955 Thanks
    EachPenny
    so if I open a 'sacrificial account' wont they be annoyed ive opened it and moved it?
    Originally posted by linuxpenguins
    Difficult to say - perhaps it is unlikely they will care about one account, 'they' may not even notice. But if you do it more frequently then perhaps it will count against you. Hence my 'safety first' approach of not just using the same bank all the time.

    You were concerned about your credit rating - you credit history is the information that gets shared around, what might be more of a concern is the information a bank might gather about you which it keeps to itself - like how frequently you open new accounts, how many transactions are made or weeks elapse before you switch away. The problem is we really do not know.

    What we do know is people get refused accounts for no apparent reason - and banks can close accounts by giving notice, without having to justify the reasons why.

    So whilst an occasional sacrificial account is unlikely to be a problem, like with most things in life, try not to take the proverbial

    P.s. If you need to have active direct debits transferred as part of the switch you'll need to keep the account running for quite a bit more than a week.
    Last edited by EachPenny; 18-06-2017 at 3:06 PM. Reason: P.s.
    "In the future, everyone will be rich for 15 minutes"
    • bigadaj
    • By bigadaj 18th Jun 17, 6:50 PM
    • 9,581 Posts
    • 6,096 Thanks
    bigadaj
    I've opened and switched four accounts with Santander, and got the imutual incentive for opening them on two!

    Still have a 123 account and a regular saver, having closed my credit card and second 123 account last year as the incentives reduced.
    • YorkshireBoy
    • By YorkshireBoy 18th Jun 17, 7:34 PM
    • 29,306 Posts
    • 17,082 Thanks
    YorkshireBoy
    I recently switched a nationwide Flex account to first direct.. could I open another flexi account and then switch to tsb? I fear it may hit credit rating tho?
    Originally posted by linuxpenguins
    I currently have over 30 current accounts. A couple of years ago I had approaching 40, and 18 of them were opened in the space of 2-3 months. During this period I also obtained 4 credit cards. If opening current accounts (but not taking overdraft facilities) is supposed to affect your credit rating, then how many do you need before it does?...50, 75, 100?
    • jimjames
    • By jimjames 18th Jun 17, 11:03 PM
    • 11,928 Posts
    • 10,326 Thanks
    jimjames
    ..
    I have £100 spare to save each month.. where should I put this? Happy to open another account if need be. I know it wont generate much interest but better than receiving nothing at all! - It will need to be easily accessible too.

    Thanks
    Originally posted by linuxpenguins
    You don't say what you are saving for but if you already have enough cash, would it be worth looking at investments via a S&S ISA? £100 pm is an ideal amount to get started
    Remember the saying: if it looks too good to be true it almost certainly is.
    • YorkshireBoy
    • By YorkshireBoy 18th Jun 17, 11:23 PM
    • 29,306 Posts
    • 17,082 Thanks
    YorkshireBoy
    You don't say what you are saving for but if you already have enough cash, would it be worth looking at investments via a S&S ISA? £100 pm is an ideal amount to get started
    Originally posted by jimjames
    In a previous thread I believe the OP said they only contributed 1% of salary to their pension scheme. Maybe spare funds should go there?
    • atush
    • By atush 19th Jun 17, 12:01 PM
    • 16,155 Posts
    • 9,850 Thanks
    atush
    I agree, top up the pension. 1% isnt enough.
    • linuxpenguins
    • By linuxpenguins 19th Jun 17, 12:37 PM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    Hi

    Plan is to build a £10,000 pot. Not saving for anything in particular, I just want some reserves built up as security.

    Where do you recommend I open a S&S ISA and what funds? Perhaps come June next year, or earlier, once I get my annual interest I could combine the funds built up and move into this prospective ISA ? Would this be a sensible approach?

    I hear a lot about Vanguard.. don't claim to know much about it though! Would this be a good option ?

    Thanks for your pointers

    Mortgage overpayments will be next approach once £10k built up. Currently owe £66k at a rate if 2.09%
    • eskbanker
    • By eskbanker 19th Jun 17, 1:16 PM
    • 5,280 Posts
    • 5,032 Thanks
    eskbanker
    Keep building your cash savings pot before thinking about S&S - the usual rule of thumb is to have approximately 3-6 months worth of outgoings in readily-accessible cash form before considering non-cash investment, so jimjames's recommendation was to look at that once you have enough cash and it sounds like you don't yet.
    • linuxpenguins
    • By linuxpenguins 19th Jun 17, 1:33 PM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    Nope! I don't! Currently have about £3.9k so a fair way to go.. should be £9.3k come end of year.

    I think £10k should be a decent amount to have in cash. I won't touch it then once I have it and hopefully 'forget about it'

    It's difficult as I want a new 4K television.. but I 'want' and not 'need' spurs me on.

    I am tempted to get £130 from TSB if I switch to them but scared as I don't have a sacrificial account.

    Will sideline the s&s for now then!

    But still, whereto put this £100
    • linuxpenguins
    • By linuxpenguins 22nd Jun 17, 6:01 PM
    • 140 Posts
    • 6 Thanks
    linuxpenguins
    I currently have over 30 current accounts. A couple of years ago I had approaching 40, and 18 of them were opened in the space of 2-3 months. During this period I also obtained 4 credit cards. If opening current accounts (but not taking overdraft facilities) is supposed to affect your credit rating, then how many do you need before it does?...50, 75, 100?
    Originally posted by YorkshireBoy
    Very tempted to open another Nationwide Flexi Account and then use this to switch to TSB. Just scared that they may cotton on what I've done (Sorry EachPenny!)

    I looked into the Virgin savings but I don't believe they have an app to keep track of money? - I know I could just simply go online, but I like the convenience of the app idea. Any other options for this £100 a month?

    Thanks
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