A&L premier 10% account: schoolboy maths question

innovate

albertross wrote:

The only way to make real money is by going into business, investing in the stock market, or property speculation. Savings accounts give very little return at current rates of interest, when you take inflation into account.

Agree, it is possible to make more from investments than from savings accounts - though the risks are higher, you need to have a much longer term view, and not lose your nerve when you see your money lose in value in the process. It's a personal decision

chachiluz

Albertross and innovate many thanks for the advice. I will look into that account today.

theJudge

The catches are:-

1. Customer service is via a chargeable 0845 number
2. An A & L Premier Direct current account will also be opened for you.
3. You can only fund the Premier Regular Savers account via a Standing Order set up by A&L to move funds from the lower interest paying A&L Premier Direct account.
4. The Standing Order set up by A&L doesn't appear in the list of Standing Orders when you log in to the internet account, so you can't cancel it online.
5. As you need to fund it via a Standing Order, you miss 3 days of interest in a typical 20 working day month.
6. As you have to first fund the Premier Direct account, then you'll miss a further 3 days of interest, if you are moving funds from another account.
7. If you have insufficient funds in your Premier Direct account when the Standing Order becomes due, then they'll charge you a whopping £34 in penalty charges.

cadboll

An alternative is the Halifax Regular Savers Account - the rate is 7% Gross/AER.

http://www.halifax.co.uk/savings/regularsaver.shtml

I have used this for over a year now and no complaints so far!