Lloyds TSB Classic Plus interest dropping 1%. Is Vantage dropping too?

LittleVoice

arjar wrote: »

So the net result is that I have changed to vantage and transferred everything from the saver account into the current account, where the top slice (up to 7k) will get 4%. Even taking account of the tiered rates in vantage, I'm better off putting £7k into it, rather than leaving it in the 1.6% easy saver account (which reverts to 0.1% after a year anyway).
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Just remember to be sure of paying in a total of at least £1K each month - even if that means taking it out and putting it back in - in order to get the good rates on offer.

aaj123

I have a question about the Vantage account. If I have £7K in the account, will I get 4% on the entire 7K or will the interest rate be calculated as follows:

0.1% on the first 1000
2% on the next 2000
3% on the next 2000
4% on the top slice 2000

If this is the case, the effective interest rate on my £7K will be something like 2.58%.

So can someone please enlighten me how LLoyds calculates the interest on the Vantage account?

apt

You get 4% on the whole balance providing it is above £5,000 and not above £7,000. Likewise 3% on the whole lot if £3,000 plus, but less than £5,000 etc.

Jock_Tight

apt wrote: »

You get 4% on the whole balance providing it is above £5,000 and not above £7,000

You still get 4% on £7000 if your balance is above £7000, you just dont get anything on the extra (used to be 0.1%).

aaj123

apt wrote: »

You get 4% on the whole balance providing it is above £5,000 and not above £7,000. Likewise 3% on the whole lot if £3,000 plus, but less than £5,000 etc.

Thanks. So it looks like its worth putting 7K into a LLoyds TSB current account and use it as a savings account. 4% on the whole balance sounds good given that the best savings account in the market is Halifaz websaver that gives 2.8%.

Jock_Tight

You can have a max of 3 vantage accounts in your name so thats £21k @ 4% you have available with Lloyds TSB.