Lloyds TSB 8% monthly saver

System

I have the Lloyds TSB monthly savings account but i assumed that a current account was to be opened to transfer the money into at the end of the 2 year period. I hadnt assumed the standing order would have to be set up from there too.

lipidicman

You should never assume anything Judi. The money is not transferred at the end of the 2 yrs for this account, rather the account is converted:

'continued growth – at the end of two years, your account will convert to a Guaranteed Tracker.'

Kazza242

lipidicman wrote:

This is precisely why lloyds insist that you have a lloyds current account and use it as your main account. This way they can cross sell and increase the money going through for that customer. However where the Standing Order comes from is a separate issue IMO. If it comes from a outside current account then all should be well with lloyds. You still have a lloyds current account and you must use it as your main account (ie have an income paid into it etc), they just get 'some more money'.

This is on topic, as it is related to the understanding of the terms and conditions of the LTSB monthly saver account:

Lipidicman,
The section above where you wrote that the LTSB current account must be used as your main account ( ie have an income paid into it), is incorrect as far as I'm aware. When I opened my monthly saver in May, I did not change my existing salary mandate that pays my salary into my non-LTSB current account. According to the T&C's there is no requirement to pay one's salary into the LTSB current account.

The 'main account' condition (as stated in the T&C's) is rather a confusing one, which might explain why so many people believe that the SO must come from their LTSB current account. Afterall, if one has decided against moving their salary over to Lloyds and also decides not to setup their SO from their LTSB current account, how can it be seen as being one's main current account?

For this reason, I purposefully had my monthly saver SO setup from my LTSB current account. Otherwise, I doubt I would use the current account. As things stand now, because I have to fund the LTSB current account to feed the monthly saver, my current account is always 'actively' being used. Without this, I think it's likely that my monthly saver would be prematurely converted into a guaranteed tracker!

System

lipidicman wrote:

You should never assume anything Judi. The money is not transferred at the end of the 2 yrs for this account, rather the account is converted:

'continued growth – at the end of two years, your account will convert to a Guaranteed Tracker.'

and i ask myself what the heck is a guaranteed tracker? Oh well, i guess i will find out in 2 years time.:rolleyes:

grumbler

Judi wrote:

... Oh well, i guess i will find out in 2 years time.

Why wait for 2 years? You can do this now: Guaranteed Tracker account. This wonderful account offers 'a solid :rolleyes: return with rates that follow the Bank of England base rate until January 2008' - currently 3.15%* .

John_3:16

Have opened an account today. was told this acount may be pulled as it is proving to be so popular?

brranger

John_3:16 wrote:

Have opened an account today. was told this acount may be pulled as it is proving to be so popular?

That would be a pain as can't open one till christmas. I have a plan you see to over lap Reg Savers, Tho its not to great :rotfl:

System

grumbler wrote:

Why wait for 2 years? You can do this now: Guaranteed Tracker account. This wonderful account offers 'a solid :rolleyes: return with rates that follow the Bank of England base rate until January 2008' - currently 3.15%* .

Guess i wont be keeping it in there long then.:D

Yorkshireman_3

Thanks for all the advice on this subject - One question if i may - i opened the current account and regular saver account with ltsb and i am transfering £250.00 from a Halifax Internet account monthly into the current account - to feed the regular saver. My question is - as it takes up to 5 days for my £250 every month to get into the ltsb account but my Halifax internet account is debitted on the day i do the transfer -- so is it worthwhile as i am loosing interest - or should i walk the 200 yds between the Halifax and LLoyds each month and put £250 manually into the account??

Kazza242

Yorkshireman wrote:

My question is - as it takes up to 5 days for my £250 every month to get into the ltsb account but my Halifax internet account is debitted on the day i do the transfer -- so is it worthwhile as i am loosing interest - or should i walk the 200 yds between the Halifax and LLoyds each month and put £250 manually into the account??

I do a similar thing every month. I withdraw the £250 from my current account held elsewhere (1 working day before the SO is due) and walk to LTSB to deposit it over the counter. The SO then moves it into the monthly saver the following day or a couple of days later. It's not a hassle for me, as it only needs to be done once a month.