Lloyds Vantage Account - Wrong Interest?

anamenottaken

RocketPig wrote: »

To be honest its hard to tell, I put a few grand in there on the 3rd november and added to it every now and then. As opposed to dumping £6k in at the start.

And if you didn't have £5K in at any point, you would have received a lower rate of interest for those days.
The tiers are up to £999, 1.98%; £1,000 to £2,999, 2.96%; £5000 to £7000, 3.93%. Those percentages are the actual gross rates, not the notional AER.

RocketPig

anamenottaken wrote: »

And if you didn't have £5K in at any point, you would have received a lower rate of interest for those days.
The tiers are up to £999, 1.98%; £1,000 to £2,999, 2.96%; £5000 to £7000, 3.93%. Those percentages are the actual gross rates, not the notional AER.

Thats another good point, which means at the start of each month, even with £7k balance, I will only be earning the lower rate of interest because I have not put £1k in. If that is the case I will put in £1k at the beginning of each month for 1 day then transfer it back to its original account.

johnmoney05

RocketPig wrote: »

Thats another good point, which means at the start of each month, even with £7k balance, I will only be earning the lower rate of interest because I have not put £1k in. If that is the case I will put in £1k at the beginning of each month for 1 day then transfer it back to its original account.

No. You just need to put £1000 during the month. Not necessary the first day.

10_66

savetilibleed wrote: »

...My interest was £17.49 which works out to about 29 days, not 30 days, which should be £18.07.

THIS link from Dagobert explains how LTSB calculate their interest period.

oldfella

October interest was paid a day late because month end was over the weekend, so November is based on 29 days

savetilibleed

Hmm sort of explains the anomaly. Not very straightforward at all is it. Strange thing is the interest I was paid in Nov (for Oct) was £19.07, when for 11 days of Oct I had around £6200 and for one day only £5048. Then for the latter half of the month I had £7000+

anamenottaken

RocketPig wrote: »

Thats another good point, which means at the start of each month, even with £7k balance, I will only be earning the lower rate of interest because I have not put £1k in. If that is the case I will put in £1k at the beginning of each month for 1 day then transfer it back to its original account.

Put the £1K in no earlier than the second working day of the calendar month. I think you will find t's the way the accounting month works which means the first working day doesn't count for that calendar month.

So if you have £7K in at the beginning of the month and pay in a total of at least £1K during the month, you will earn the highest rate on the whole £7K.