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  • FIRST POST
    • TheShape
    • By TheShape 4th Oct 16, 10:23 AM
    • 421Posts
    • 204Thanks
    TheShape
    TSB Current Account Interest
    • #1
    • 4th Oct 16, 10:23 AM
    TSB Current Account Interest 4th Oct 16 at 10:23 AM
    I'm not going to ask when I'll be getting the interest, that's been done to death.

    My query is regarding interest calculation. I know that interest is calculated daily, but at what time is the calculation done? Contactless payments have taken me below £2000 as of 6am this morning (according to my text alert).

    I usually top my account back up to £2000 when I get home in the evening to maintain the highest balance on which interest is paid. I HAVE tried to find the answer before posting but have either missed it or can't find it.

    I'm also interested in the answer for any other current accounts I have (Nationwide, Lloyds, Tesco).
Page 1
    • Ed-1
    • By Ed-1 4th Oct 16, 3:17 PM
    • 1,492 Posts
    • 808 Thanks
    Ed-1
    • #2
    • 4th Oct 16, 3:17 PM
    • #2
    • 4th Oct 16, 3:17 PM
    I'm not going to ask when I'll be getting the interest, that's been done to death.

    My query is regarding interest calculation. I know that interest is calculated daily, but at what time is the calculation done? Contactless payments have taken me below £2000 as of 6am this morning (according to my text alert).

    I usually top my account back up to £2000 when I get home in the evening to maintain the highest balance on which interest is paid. I HAVE tried to find the answer before posting but have either missed it or can't find it.

    I'm also interested in the answer for any other current accounts I have (Nationwide, Lloyds, Tesco).
    Originally posted by TheShape
    The times vary which makes it possible to bank interest on the same money at different banks on the same day but doing this regularly is asking for account closure.

    TSB and LBG both calculate interest at midnight. Santander is around 8:30pm. Nationwide and Barclays are also before midnight (not sure of the precise time).
    • teddysmum
    • By teddysmum 4th Oct 16, 5:09 PM
    • 5,789 Posts
    • 3,423 Thanks
    teddysmum
    • #3
    • 4th Oct 16, 5:09 PM
    • #3
    • 4th Oct 16, 5:09 PM
    As weekly interest on the whole £2000 is only around £2, the loss of a day's interest on part of it will be very tiny.
    • YorkshireBoy
    • By YorkshireBoy 4th Oct 16, 5:24 PM
    • 28,268 Posts
    • 16,093 Thanks
    YorkshireBoy
    • #4
    • 4th Oct 16, 5:24 PM
    • #4
    • 4th Oct 16, 5:24 PM
    As weekly interest on the whole £2000 is only around £2, the loss of a day's interest on part of it will be very tiny.
    Originally posted by teddysmum
    Indeed. If you managed to spend £75 on contactless in one day, and were not able to repay it that same evening, but the next day, then the 'loss' is...














    wait for it.....





















    No, that can't be right. Let me do the calculation again.....




















    Looks like it was right the first time after all...



















    It's one whole penny!


    (£75 x 0.0489 / 365 = £0.0100479452054795)
    • TheShape
    • By TheShape 4th Oct 16, 5:26 PM
    • 421 Posts
    • 204 Thanks
    TheShape
    • #5
    • 4th Oct 16, 5:26 PM
    • #5
    • 4th Oct 16, 5:26 PM
    The times vary which makes it possible to bank interest on the same money at different banks on the same day but doing this regularly is asking for account closure.

    TSB and LBG both calculate interest at midnight. Santander is around 8:30pm. Nationwide and Barclays are also before midnight (not sure of the precise time).
    Originally posted by Ed-1
    I'm doing enough without trying to bank multiple interest on the same money.

    As TSB l and Lloyds are midnight I'll just make sure I replace any spending from lower earning funds before midnight.

    I'll do any others as early as possible too.
    • TheShape
    • By TheShape 4th Oct 16, 5:28 PM
    • 421 Posts
    • 204 Thanks
    TheShape
    • #6
    • 4th Oct 16, 5:28 PM
    • #6
    • 4th Oct 16, 5:28 PM
    Indeed. If you managed to spend £75 on contactless in one day, and were not able to repay it that same evening, but the next day, then the 'loss' is...














    wait for it.....





















    No, that can't be right. Let me do the calculation again.....




















    Looks like it was right the first time after all...



















    It's one whole penny!


    (£75 x 0.0489 / 365 = £0.0100479452054795)
    Originally posted by YorkshireBoy
    I'm rushing home right now! Wish me luck.
    • TheShape
    • By TheShape 4th Oct 16, 5:31 PM
    • 421 Posts
    • 204 Thanks
    TheShape
    • #7
    • 4th Oct 16, 5:31 PM
    • #7
    • 4th Oct 16, 5:31 PM
    As weekly interest on the whole £2000 is only around £2, the loss of a day's interest on part of it will be very tiny.
    Originally posted by teddysmum
    I know it's minimal but I've been in the mindset before that I'll sort my savings etc tomorrow, won't make much difference, then it's the next day, and the next.
    • YorkshireBoy
    • By YorkshireBoy 4th Oct 16, 5:35 PM
    • 28,268 Posts
    • 16,093 Thanks
    YorkshireBoy
    • #8
    • 4th Oct 16, 5:35 PM
    • #8
    • 4th Oct 16, 5:35 PM
    I know it's minimal but I've been in the mindset before that I'll sort my savings etc tomorrow, won't make much difference, then it's the next day, and the next.
    Originally posted by TheShape
    When you've been at it a while you will lose a little bit of interest (no pun intended!) in replenishing quickly and/or keeping the balances at exactly £2K/£2.5K/£3K/£4K/£5K/£20K. I just have a tidy up once or twice a month these days on TSB and every few months on the others.
    • TheShape
    • By TheShape 4th Oct 16, 5:59 PM
    • 421 Posts
    • 204 Thanks
    TheShape
    • #9
    • 4th Oct 16, 5:59 PM
    • #9
    • 4th Oct 16, 5:59 PM
    When you've been at it a while you will lose a little bit of interest (no pun intended!) in replenishing quickly and/or keeping the balances at exactly £2K/£2.5K/£3K/£4K/£5K/£20K. I just have a tidy up once or twice a month these days on TSB and every few months on the others.
    Originally posted by YorkshireBoy
    It's early days at the moment and I've got a slowly dwindling savings pot to shift into the higher paying accounts so I've been a bit fussy about wringing (literally) every penny out of the accounts. I'm sure i'll become less obsessive one everything has bedded in.
    • bigadaj
    • By bigadaj 4th Oct 16, 8:37 PM
    • 7,785 Posts
    • 4,741 Thanks
    bigadaj
    I'm rushing home right now! Wish me luck.
    Originally posted by TheShape
    Unfortunately the rush home has cost you an extra two pence in petrol.
    • msallen
    • By msallen 5th Oct 16, 4:14 AM
    • 425 Posts
    • 341 Thanks
    msallen
    You say that the balance has dropped below £2000? Was it above £2000 before the contactless spend. If so then any amount over the interest bearing limit was not making anything.

    If you are going to be anal about topping it to £2K as soon as it falls below it, then you should be equally anal about it never going above £2K.

    Personally I always make sure mine are between 1900 and 2000. Its just not worth the hassle beyond that.
    • TheBanker
    • By TheBanker 5th Oct 16, 6:51 AM
    • 489 Posts
    • 1,259 Thanks
    TheBanker
    When I fund the account by SO at the start of the month, I leave £100 behind (so SO into TSB is £500, SO back is £400). This covers the contactless payments for the next month.

    I only spend £100 on this card then revert to my cashback credit card for the rest of the month. I don't keep an exact tally, just a rough mental note of what I've spent so far.

    Normally at the end of the month I will check the balance of this account and if there is a surplus will spend a bit more on this card the next month, if there is a defecit (i.e. below £2k) I'll top it up.

    I am probably missing out on a few pennies but it's not worth the hassle making it any more precise. To be honest I would earn more per hour if I spent the time roaming the streets looking for abandoned coins!
    Make £10 a day challenge: Oct-16: £88.79 / £310
    • TheShape
    • By TheShape 7th Oct 16, 12:02 AM
    • 421 Posts
    • 204 Thanks
    TheShape
    You say that the balance has dropped below £2000? Was it above £2000 before the contactless spend. If so then any amount over the interest bearing limit was not making anything.

    If you are going to be anal about topping it to £2K as soon as it falls below it, then you should be equally anal about it never going above £2K.

    Personally I always make sure mine are between 1900 and 2000. Its just not worth the hassle beyond that.
    Originally posted by msallen
    I don't allow it to go above £2000. It's at £1999.50 as of now but i'll worry about that later.
    • Kernel Sanders
    • By Kernel Sanders 13th Oct 16, 1:54 AM
    • 2,861 Posts
    • 1,210 Thanks
    Kernel Sanders
    The times vary which makes it possible to bank interest on the same money at different banks on the same day but doing this regularly is asking for account closure.

    TSB and LBG both calculate interest at midnight. Santander is around 8:30pm. Nationwide and Barclays are also before midnight (not sure of the precise time).
    Originally posted by Ed-1
    I know that the precise time for Santander is 8.20pm Mon-Sat. You can easily test this by making a transaction at 8.21, where you should discover that it is recorded on your statement as being made the following day.

    I am probably missing out on a few pennies but it's not worth the hassle making it any more precise. To be honest I would earn more per hour if I spent the time roaming the streets looking for abandoned coins!
    Originally posted by TheBanker
    This is probably true, so I think it far more productive to spend that time reading up on MSE for money saving in other fields.

    I don't allow it to go above £2000. It's at £1999.50 as of now but i'll worry about that later.
    Originally posted by TheShape
    Now you're starting to sound like someone who thinks that '0% on balances over £2000' means 0% on balances of over £2000!
    • TheShape
    • By TheShape 13th Oct 16, 12:15 PM
    • 421 Posts
    • 204 Thanks
    TheShape
    Now you're starting to sound like someone who thinks that '0% on balances over £2000' means 0% on balances of over £2000!
    Originally posted by Kernel Sanders
    I know exactly what the interest terms are so I obviously avoid, so much as is practical, having a balance over £2000. I've got no reason to fund the account above £2000 and pull out any interest earned asap.
    • teddysmum
    • By teddysmum 13th Oct 16, 4:16 PM
    • 5,789 Posts
    • 3,423 Thanks
    teddysmum
    I know exactly what the interest terms are so I obviously avoid, so much as is practical, having a balance over £2000. I've got no reason to fund the account above £2000 and pull out any interest earned asap.
    Originally posted by TheShape

    I have £2000 which is deposited and will stay there for the duration, then add £100/month for any contactless transactions. I've just done a sweep of cashback and interest, but leave a couple of £s so there is no hassle about spending exactly £100 and not a penny more.
    • Frogletina
    • By Frogletina 13th Oct 16, 6:36 PM
    • 2,651 Posts
    • 8,865 Thanks
    Frogletina
    I have £2000 which is deposited and will stay there for the duration, then add £100/month for any contactless transactions. I've just done a sweep of cashback and interest, but leave a couple of £s so there is no hassle about spending exactly £100 and not a penny more.
    Originally posted by teddysmum
    I've just had an email from TSB. I heard that the interest was going down to 3% in January.

    But there are also other changes

    Changes to your terms and conditions

    Your Classic Plus terms and conditions are changing. From 4 January you’ll earn interest on balances up to £1,500. Another new condition is if you have more than one Classic Plus account in your sole name or more than one Classic Plus account in joint names, we may convert your additional account into an Enhance account or another current account from our range. We’ll give you at least two months’ notice before we do this.
    Not Rachmaninov
    But Nyman
    The heart asks for pleasure first

    SPC 8 #441 £1567.31 SPC 9 #441 £1014.64
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