Using same 1k to service multi accounts?

gallygirl

Can someone tell me if this would work please?
Part 1
Open 2 x Santander current accounts in mine & OH's name. Pay in 2.5k to each.
Open 1 x Halifax current account (OH already has one).
Part 2
Pay 1k manually in to Halifax from offset savings on say 1st month.
Set up standing order to transfer 1k from Halifax to Santander 1 on say 8th of month (allowing time for money to def. hit Halifax)
Set up standing order to transfer 1k from Santander 1 to Santander 2 (does anyone know if this would leave 1 and enter 2 on the same day? If not I could do an electronic transfer on line).
Transfer 1k from Santander 2 to offset as soon as the 1k hits account.

If I'm right this would give me 2.5k x 6% for one year (& if we decide we need money we could transfer out), plus £5 x 12 on a virtually 0 balance. Which is nice

74jax

Can't advise on the santandar one but for Halifax yes this is ok, don't forget for the halifax one it doesn't have to be in a lump sum, so you could do all of this with just say £500 if £1k is a struggle.

gallygirl

74jax wrote: »

Can't advise on the santandar one but for Halifax yes this is ok, don't forget for the halifax one it doesn't have to be in a lump sum, so you could do all of this with just say £500 if £1k is a struggle.

Hmmm, hadn't thought of this. Think I'll stick to1k as my poor spreadsheets (and brain ) may go in to overload, but good to know for when I'm a bit hard up.

Thanks.

YorkshireBoy

Some comments:

You can have a total of 3 Halifax Reward accounts between you (one each and a joint), so that's an extra £120 a year for cycling the same money.

I wouldn't run with SOs. I log in once a month on the 2nd and make manual transfers once the Halifax Rewards have been paid (£1,000 in/£1,005 out from each ).

jennifernil

The Santander accounts don't seem to do FPs out for over £250 as far as I have been able to find out, so your SO out from there will take a few days to arrive. SO from HBOS to Santander should go by FP. But only on a "working day".

SOs between HBOS accounts all go instantaneously any day.

Don't know about between Santander accounts.

partlydave

gallygirl wrote: »

Can someone tell me if this would work please?
Part 1
Open 2 x Santander current accounts in mine & OH's name. Pay in 2.5k to each.
Open 1 x Halifax current account (OH already has one).
Part 2
Pay 1k manually in to Halifax from offset savings on say 1st month.
Set up standing order to transfer 1k from Halifax to Santander 1 on say 8th of month (allowing time for money to def. hit Halifax)
Set up standing order to transfer 1k from Santander 1 to Santander 2 (does anyone know if this would leave 1 and enter 2 on the same day? If not I could do an electronic transfer on line).
Transfer 1k from Santander 2 to offset as soon as the 1k hits account.

If I'm right this would give me 2.5k x 6% for one year (& if we decide we need money we could transfer out), plus £5 x 12 on a virtually 0 balance. Which is nice

Santander have just reduced the interest to 5% and beware that myself and other posters on here have had terrible problems with Santander paying the correct amount of interest. They are a nightmare:eek:

jennifernil

Is that over all these accounts....A&L, Abbey etc?

partlydave

jennifernil wrote: »

Is that over all these accounts....A&L, Abbey etc?

I looked at Santander site earlier and saw that it was 5% now, but havent looked at A and L


edit: yes its 5% on both

jennifernil

That's a pity. Still, since it was/is fixed for 1 year, at least you know where you stand for that period.

Mikeyorks

As post #4 ........... I wouldn't contemplate doing SOs. They don't work at weekends / Bank holidays ........ so the exceptions run you the risk of attempting to move money not yet arrived. And if you leave a big enough gap to work around that .... you leave funds there unnecessarily.

Do it manually ...... you can then see that everything is in order.

jamesd

Don't use accounts at the same bank as source and destination. Go between different banks. £100 a time with five days gap will let you set it up with standing orders:

Days 1, 2, 3, 4, 5, 6, 7, 8, 9, 10: 100 in
Days 7, 8, 9, 10, 11, 12, 13, 14, 15, 16: 100 out

You'll have as much as £600 in there at a peak but won't have bank holiday risk because in and out have delays sufficient to cover it. If you want to have less peak money in there you can use twenty transfers of £50 instead so the peak balance is £300. If you want to reduce the disruption risk further, increase the lag between in and out by another day and the peak goes up by £100 or £50. If you want to use fewer transfers increase the amount for each transfer and the peak balance goes up.