Instant Access Savings Accounts Article Discussion Area

tstockford

For people with large lump sums (selling your house etc), something to watch out for with Alliance & Leicester's DirectSaver is that you can only transfer up to £25,000 per day, to or from your current account. So it could take you several days to withdraw all your money, during which you're not being paid any interest for that month (don't forget to withdraw it on the 1st of the month!).

Trying_to_save_for_flat.

I've had real problems with ICICI not replying to emails over a problem with my certified documents (I have sent 3 this week - no response so far) so if you're looking for an efficient service then I would not recommend them. I'm pretty sure that I will end up going with HSBC!

Jays

Hi

Just looking into the Sainsbury's Internet Saver that promises 6% but have not seen any comments in this thread (tried a search), just wondered what the catch was with the account?

Any advice, we have a large amount with Icesave, and are looking to split it into another saving account.

Jays

Jays

Jays wrote: »

Hi

Just looking into the Sainsbury's Internet Saver that promises 6% but have not seen any comments in this thread (tried a search), just wondered what the catch was with the account?

Any advice, we have a large amount with Icesave, and are looking to split it into another saving account.

Jays

OK, I've found another thread in the forum about this account, the catch appears to be interest paid annually, not monthly.

Jays

mands_2

hi, I am also interested about sainsbury's insant access savings. I opened the tesco account last month and wonder how much better off would i be now if I put the £1500 into sainsbury's. Are Tesco likely to adjust there rate upwards soon?

thanks

Grumpy_Old_Duffer

Yeah, I looked at Sainsbury as well but am put off by the Annual payment of interest. I'm with ING at the moment, but as they're not putting their rates up inline with recent Base Rate increases, I'm looking to move to a Instant Access Savings Account with a better interest rate and paid monthly. Don't want to go with ICICI but have looked at Northern Rocks Silver Savings Online. They pay interest Annually (6.10%) or Monthly (5.94%). Alright, I lose about £13 Net per year by opting for Monthly (based on £10,000 investment) but I like the idea of being paid interest monthly.

If I were to opt for the year option (6.10%) but withdraw after 6 months I assume the interest paid will be based on the 5.94% rate?

Grumpy_Old_Duffer

Phew!!! Nearly signed-up for the Alliance & Leicester Direct Savers account (6.10% AER)............... until I came to the part that said "No interest is paid on the account balance in any month in which a withdrawal is made or the account is closed."

murphydavid

Grumpy_Old_Duffer wrote: »

They pay interest Annually (6.10%) or Monthly (5.94%). Alright, I lose about £13 Net per year by opting for Monthly (based on £10,000 investment) but I like the idea of being paid interest monthly.

I think you misunderstand. I think you will find that you will get 6.1% APR. And there is no difference in the interest rate you will be paid if you select Annual or Monthly. The 5.94% is there only as information to let you know the effect of withdrawing your interest every month. So if you go for the monthly option but do not withdraw the interest each month then you will get interest on your monthly intrest (in fact its done daily) (ie compound interest) which will get you back to the 6.1%. Obviously if you select the Annual option you will miss out on being informed monthly on the progress of your interest.
I add the rider that I have not looked at the terms of this particular account but I have never seen an account that does not have a consistant APR.

inmypocketnottheirs

https://www.citibank.co.uk 6.15% today (as at 8.20 a.m.- the rate can mvoe up and down during the day!)

HTH

LKM789

Following the link to the Tesco instant savings account, the account's interest rates are lower than Martin says in his article. Does this just mean they have been slow at changing their website or does our man get information ahead of time?!

LKM xx