Abbey £100 for switching

masonic

karie wrote: »

Are you sure you don't have to move salary

The question you should have asked is what if I don't get paid by regular bank transfer?

YorkshireBoy

PBA wrote: »

On all options an existing OD will be matched up to £5k, as well as matching your existing card type. All also come with guaranteed credit card, either Zero or cashback.

Hi PBA,

I'm hoping there isn't a "subject to status" clause in there, but suspect there will be! :rolleyes:

I'm currently stoozing a very large 0% A&L overdraft. Are the Abbey & A&L systems linked internally (yet...or likely to be)?

Also, I already have an Abbey Zero card (maxed out...obviously ). In such a case, is there a chance I'd be granted the other card as well (cashback would come in handy)?

Graham1

Thanks for the clarifications YorkshireBoy and PBA.

This seems to indicate that the people in their call centre are not capable of giving correct information (I spoke to three people today, one knew nothing about it and the other two gave me information which was inaccurate).

moneysavingallday

PBA wrote: »

On all options an existing OD will be matched up to £5k, as well as matching your existing card type. All also come with guaranteed credit card, either Zero or cashback.

I don't understand how they can guarantee you a credit card. Just because you credit score ok for the current account doesn't mean your credit score is necessarily enough for a credit card. This doesn't seem kosher to me.

masonic

moneysavingallday wrote: »

I don't understand how they can guarantee you a credit card. Just because you credit score ok for the current account doesn't mean your credit score is necessarily enough for a credit card. This doesn't seem kosher to me.

Credit scoring for these types of account can be quite strict (A&L have been running a similar series of accounts for some time and it seems more people get turned away than you might typically expect).

moneysavingallday

masonic wrote: »

Credit scoring for these types of account can be quite strict (A&L have been running a similar series of accounts for some time and it seems more people get turned away than you might typically expect).

ah that makes sense now

i dont think they'd give me an account then. annoying since i want that free £100

Jazzking

It depends really if you've got a decent limit on your existing overdraft as to whether this is the best option to go for:

Comparing the options:
* 8% in credit rate on balances up to £2500 - if you keep the full amount in there for 12 months you'll get about £170 in interest over 12 months (assuming you pay 20% tax) (remember there's little point leaving the interest in the account since any amount over £2500 only earns 0.1%)

* £100 cashback account, you only have to do the £1000 credit thing for 3 months to get the £100 then I presume you can just leave the account dormant or close it?

* 0% overdraft for 12 months. This will depend on if you can find a decent rate savings account for 12 months to put your overdraft into (a la stoozing) then it's just a case of crediting £1000 each month and then moving it back to the savings to maximise the interest earned.
Assuming a 6% gross savings rate (Tescos internet, Birmingham Midshires Issue 1) if you've got an overdraft of more than about £3500 you could stooze this for 12 months and get more than the £170 interest you'd get from the 8% in credit account, without having to tie up your own £2500 for 12 months!

I know what I'll be doing

Having said that, for a quick £100 after 3 months, you can't knock that option, but there are potentially better ways of using the account....
You may be able to do the £100 for three months, then try and get them to open another account with one of the other two options?

PBA

karie wrote: »

Are you sure you don't have to move salary

Absolutely 100%. Only DDs have to be moved.

moneysavingallday wrote:

I don't understand how they can guarantee you a credit card. Just because you credit score ok for the current account doesn't mean your credit score is necessarily enough for a credit card. This doesn't seem kosher to me.

If you're accepted for a current account with a debit card then you're also guaranteed accepted for a credit card (as long as you don't already have one with Abbey). It may be as low as 250.00 limit, but you are guaranteed.

@ jazzking, well summed up. Though a 6% savings rate may not be around for too much longer, so the stoozing idea might not be as sensible as the cashback.

@ masonic, the scoring doesn't seem too strict. I've rarely seen anyone get turned down as long as they've already got a full bank account (ie debit card and cheque book) with another bank, unless they've run up bad debt.

@ Yorkshire, the systems aren't linked with A&L yet so you can transfer the current account over. You're not guaranteed the cashback credit card though if you already have Zero.

moneysavingallday

So you have to have pretty good credit to get this account. A lot of people who get approved for current account with debit card do not get approved for credit cards.

PBA

moneysavingallday wrote: »

So you have to have pretty good credit to get this account. A lot of people who get approved for current account with debit card do not get approved for credit cards.

Again, no, not particularly good credit. As long as you have a bank account already with a Debit card then you're generally fine, and as long as the new account gets a Visa Debit card then the credit card is guaranteed as well.