LloydsTSB Vantage Account - too good to be true?

MoneymadMatt

Hi guys,

I have a vantage account and by using the information provided by them on the interest and rates web page I have worked out that if I have £3k in my account and I have done all the stipulations needed for me to gain interest for that month, I would receive £71.10 interest. This sounds too good to be true... the calculation I used to get to this was £3000/100*2.37=£71.10 (2.37 being the net interest for balances above £3k) is this correct?

Many thanks
Matt

innovate

You would get around £72 for the year after basic rate tax if your £3K were in Lloyds every day for 365 days, and if you me the condition to deposit £1K a month.

Funkyfreddy

MoneymadMatt wrote: »

Hi guys,

I have a vantage account and by using the information provided by them on the interest and rates web page I have worked out that if I have £3k in my account and I have done all the stipulations needed for me to gain interest for that month, I would receive £71.10 interest. This sounds too good to be true... the calculation I used to get to this was £3000/100*2.37=£71.10 (2.37 being the net interest for balances above £3k) is this correct?

Many thanks
Matt

Yes, over the year. Not monthly !

£3000 @ 3% would earn you £90 Gross, with Tax @ 20% deducted at source that's £72 or about £6 per month.

Interest is calculated daily and credited to your account each month (varying days therefore slightly different amounts). You can earn interest an a balance of up to £5000 in a qualifying Vantage account so if you do nothing with your £3000 you will earn a little extra interest each month on the previous interest !

FF

MoneymadMatt

I thought that this would be the case! I am starting up a small business and am trying to find all the ways to make my money stretch further! I am either thinking of using the money to help expand the business and help growth or invest in stocks and shares... any advice? I have gone off topic a bit but you guys seem to know your stuff :xmassmile

Hominu

I wouldn't invest in S&S unless you know what you are doing. Have you read any literature such as Smarter Investing by Tim Hale?

MoneymadMatt

I haven't, but I may give it a read, as well as anything else I can get my hands on :-P

Card_Sharp

Does anyone have any experience of what to put in an application if they have an unusual source of income, such as professional gambler, betfair trader or stock market trader?

innovate

Homemaker? Retired? Unemployed? Can't be too hard for someone who is making a living from gambling/trading.

Card_Sharp

I am wondering if putting "unemployed" would go against you on the application.

That would also mean that you wouldn't be quoting an income source. However I also wonder if income from gambling would be irrelevant since you technically can't supply PAYE slips, or business accounts. Not that I am suggesting current accounts would ask for these but they are in their rights to ask for proof of income if you quote it.

In addition, if a person claimed to earn a living through gambling on an application form that could potentially be treated as high risk and go against you.

innovate

OK, unemployed might not work in your favour, but "Homemaker" or "Retired" is perfectly without negative connotations.

Should they ask you for proof of your income, surely it is just a matter of showing them your bookie/Betfair/trading P&Ls.

I should add, though, if you plan to apply for a mortgage or loan, you should perhaps keep your gambling and your other business at separate banks. There is evidence that bankers don't like people (other than themselves) who make money from gambling. Check the Matched Betting Board, or a specialist gambling forum,for more.