Lloyds TSB 5% Interest

Careful_ly

Special saver2 keeps this thread updated on a regular basis
https://forums.moneysavingexpert.com/discussion/608697
see the posts 1 - 9, this details the various accounts available.

hunsbury0

Stochasticity wrote: »

First Direct, 8% gross for 1 year, £25-300 per month, current account holders only, withdrawals by account closure only.

http://www2.firstdirect.com/1/2/savings/regular-saver-account;jsessionid=0000Yi4zelo9j2htnwVYVMjzktq:11qkrclbj

Hi,
Thank you for your post, but unfortunately I do not bank with them & I do not want to open a new current a/c.
Regards

drlabman

I opened a 5% Monthly Saver a few weeks ago and am intending putting in the maximum each month. Can someone tell me if there is any advantage or disadvantage to when I put in the £250? Is it better early in the month or late, or does it not matter? If it doesn't matter then I'd put it in at the end of the month, which means it could stay in my NatWest e-Saver that much longer (as I understand it, interest in the NW e-Saver is calculated daily). Am I right?

Steve_xx

drlabman wrote: »

I opened a 5% Monthly Saver a few weeks ago and am intending putting in the maximum each month. Can someone tell me if there is any advantage or disadvantage to when I put in the £250? Is it better early in the month or late, or does it not matter? If it doesn't matter then I'd put it in at the end of the month, which means it could stay in my NatWest e-Saver that much longer (as I understand it, interest in the NW e-Saver is calculated daily). Am I right?

Putting it in earlier in the month would gain you a bit more interest.

psychic_teabag

Both accounts will be calculating interest daily. So the earlier in the month you pay it, the sooner the money is earning 5% rather than 2.85%

drlabman

So, on the Lloyds website where it gave the example of interest on £250 per month x 12 = £6x.xx (can't remember the exact amount, and it's gone now because that offer is withdrawn), that assumed funding the account on the 1st of the month, yes?

BTW, it's 5%. The Vantage accounts are earning 4%.

psychic_teabag

Doh! Sorry, yes, 5%. The illustration is probably based on each payment being on the same day of the month - doesn't need to be the 1st since the account runs for 12 months from opening. When I set up my saver, they automatically created a standing order for the payments, but you can change the payment date easily enough. (Might also want to ensure it ends after the required number of payments - the one they made for me was open-ended. BTW T&C do not forbid a 13th payment into the account, but that's only useful if account was opened near the end of a month.)

The regular saver calculator at http://www.moneysavingexpert.com/savings/best-regular-savings-accounts says you'll get £64.61 for 1 yr at 5% after taking off basic tax.

Within this thread there's discussion (arguments) about the best time to pay into Skipton's reg saver (was also 5%, also now withdrawn):
https://forums.moneysavingexpert.com/discussion/2878202

WHITEVANMAN

smeagold wrote: »

What a whole 5%? fantastic. I really wish I'd put my money in that rather than gold, thats been giving 23% yoy returns for the last 10 years. I'm really missing out there aint I? where do I sign up?

A bit harsh there Smea, sometimes, some people have a need to just put a few quid away for a short term, while they save for a purchase or holiday or even to build a pool of more useable funds.
Its also quite useful to have an account with some cash available, rather than a safe full of gold and silver.
I have a reasonably broad range of investments, but still often have around a 3rd in deposits, as the need for instant cash often allows one to take advantage of the many other opportunities that fall outside of market investments.
Im also currently looking for a new account for sweeping regular smaller amounts into for the short term, an account paying 5% without charges doesnt seem too unreasonable in the grand scheme of things.

Edit: Although I would appear to be too late for this one.