transfer between savings accounts

mjcarrier

I want to be able to switch my savings between various accounts into the one which has the highest interest rate at any one time. Moving money seems to take several days - is my money still getting interest during this time, or is it lost?

Stavros_3

Not a bean when its in the ether

Milarky

In general, no interest will be earned as soon as a withdrawal is made. In general, as soon as a deposit is made it starts to earn interest. Cheques are different - they are subject to two working days delay (again, 'in general')

'Transfers' count as cleared funds as soon as they are deposited and so earn interest. But transfers either take '0 days' (under faster payments) or '2 days [plus the weekend]' otherwise to arrive. Since a large proportion of savings providers continue to use 'BACS' then - in general - you lose this number of days interest whenever you withdraw. A number of savings institutions accept faster payments - or else can collect by direct debit. This potentially ellimanates any lost days when depositing money into savings but bear in mind that the money has to come out of a current account - and so might not be earning interest just before it gets 'transferred'