Using savings to replace earned income

Stompa

wriggly wrote: »

What is being referred to is known as a "sweep", where money is taken from one account automatically when it is required in another account.

Citibank will do that, but unfortunately their savings account has a truly dire rate of interest.

opinions4u

Halifax allow internal standing orders from some savings accounts to current accounts.

I don't think that in any way discriminates against their younger customers though.

jennifernil

Like psychic teabag suggested, if I were you, I would open at least 2 Lloyds Vantage accounts, transfer all the DDs etc to one( a joint one), have all your pensions and wages paid ito it, and move some savings to it to bring the balance up to almost £7k. Place another £7k in the second one. Set up £1000 SOs between theses accounts to get your 4% interest.

You should not be keeping any savings in an account that pays only 0.5% interest.

If your pensions + wages + Vantage interest is insufficient to fund your bills, then you will have to top up the main account every so often.

Do you really need another spending account each? If so, set up SOs to these accounts from the Vantage ones. Or open at least one additional Vantage account each and use that.

Retirement is a good time to rethink your finances!

Jake'sGran

I dislike the assumption that all older people rely on savings to fund their outgoings. Many don't and I am one of them. My state pension is only approx £50 or so and company pension £2280 p.a. This is why I saved and invested when I was working and now know I will be unable to enjoy it although it is good to be able to buy any everyday thing I want or need.

On a practical note, Egg Savings have an easy access account paying 2.5%. They give excellent customer service and allow money transfers to other banks. Unfortunately the rate of 2.5% does include a bonus which lasts only for one year.

If you have a look at the different types of accounts listed under Banking/Saving at the top of the page you may find something to suit your needs but it will not be a savings a/c which allows DDs.