Santander 123 interest error correction

Options
[Deleted User]
[Deleted User] Posts: 0 Newbie
Name Dropper First Anniversary First Post
in Budgeting & bank accounts
On 10 May my Santander 123 current account was credited unexpectedly with £0.89 under the heading of "interest error correction". No further information given and no letter etc received. The 10th happens to be the last date of my statement month. Normal interest credited today (11th) along with DD cashback, and £5 fee debited today. Has anyone else had an unexpected credit? Just curious, it's not a lot of money!

Comments

  • dreaming
    dreaming Posts: 1,139 Forumite
    Name Dropper First Post First Anniversary
    Options
    Could his have been tax stopped on April's interest payment and re-credited under the new allowances?
  • okydoky
    okydoky Posts: 267 Forumite
    First Anniversary First Post Combo Breaker
    Options
    Yes, we got one of these on our joint account for £33 this month.

    Had no idea what it was until we got this months statement.

    There is an insert that explains how they have identified that previously they haven't always calculated interest correctly when a debit card has been used to make purchases!?!

    Assume this is all to do with timing and when the payments actually leave your account, but not too sure?
  • msallen
    msallen Posts: 1,494 Forumite
    First Anniversary Name Dropper First Post
    Options
    Ah thanks okydoky. I was taking the position of "not looking a gift horse in the mouth" and not questioning it, but its good to know why I got a free £17.

    Presumably that's not all an error in the last month either, so we have benefited by being paid gross this tax year rather than net previously!
  • SuperAllyB
    SuperAllyB Posts: 860 Forumite
    Name Dropper First Anniversary First Post
    Options
    okydoky wrote: »
    Yes, we got one of these on our joint account for £33 this month.

    Had no idea what it was until we got this months statement.

    There is an insert that explains how they have identified that previously they haven't always calculated interest correctly when a debit card has been used to make purchases!?!

    Assume this is all to do with timing and when the payments actually leave your account, but not too sure?

    If this is something that has affected all customers over a period of time, I look forward to receiving a cheque even though I am now an ex customer.
  • Consumerist
    Consumerist Posts: 6,310 Forumite
    Name Dropper First Post First Anniversary
    Options
    My interest payments from Santander rarely agree accurately with projections on my spreadsheet so maybe my spreadsheet has been correct in the past. Heaven alone knows what dates they use for interest calculations but it doesn't seem to be the dates on the statements. But this is Santander, who have always had trouble with their interest payments.
    >:)Warning: In the kingdom of the blind, the one-eyed man is king.
  • mgarl10024
    mgarl10024 Posts: 643 Forumite
    First Anniversary Combo Breaker
    Options
    Consumerist wrote: »
    My interest payments from Santander rarely agree accurately with projections on my spreadsheet so maybe my spreadsheet has been correct in the past. Heaven alone knows what dates they use for interest calculations but it doesn't seem to be the dates on the statements. But this is Santander, who have always had trouble with their interest payments.

    I've just had one of these payments.

    Interestingly (no pun intended) my calculations do normally agree with rounding.

    Up until a number of months back I noticed that interest was not paid for the days following a card payment.
    So, if you had £12k in the account and bought something for £2k on the 10th, your 'available balance' would adjust immediately, but the transaction might not appear until say the 12th. However, the interest for the 10th/11th would calculate as if there was £10k (12k-2k) in the account and not the balance of £12k.
    Personally, I thought this was ok - Santander have handed over the money to the other party even if they haven't updated the account.

    I vaguely remember recently noticing that this delay wasn't happening anymore, and seeing as I was better off didn't challenge it.
  • butterflymum
    butterflymum Posts: 987 Forumite
    Name Dropper First Anniversary First Post Photogenic
    edited 21 June 2017 at 2:37PM
    Options
    Hattie, okydoky and others, I realise this is an old thread, but as you received an Interest Error Correction amount in May 2016, I wonder if you would mind checking something for me.


    As you probably know, Santander produce both (A) an Annual Summary of Interest and Fees statement (which can be for different dates to the tax year eg 19th April 2016 to 18th April 2017), as well as (B) an Account Summary Statement for the tax year, eg 6th April 2016 to 5th April 2017.

    So, for 2016 to 2017, was the Interest Error Correction amount included in the 'Interest you have earned' total figure in the credit interest column of (A) your Annual Summary of Interest and Fees statement and/or in the Gross Interest Paid column of (B)?
    butterfly )i(
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.3K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 248K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards