Any reason for me not to switch to Santander Preferred?

dandelions

I am a student with one year left on my course (fingers crossed). My student account is nothing special anymore - I got it back when it had 2% in credit interest, but it's now at almost 0% and it never had anything attached like a railcard. The only reason to stay is inertia, and because none of the student accounts were any better. It has a reasonable overdraft, but I barely use it (and if I set up my standing orders better, wouldn't actually use it at all).

However, I've been looking into non-student accounts now they're actually competitive, and specifically the Santander Preferred. I have £7k that I'm looking to move from a Vantage account since the 4% interest rate is disappearing soon, and £100 plus 5% in-credit interest for £2.5k sounds like a decent deal (I'd then put the rest in an ISA). After a year I'd switch, but that's not a big deal given I'd otherwise have to move my student account in a year's time when I graduated.

Of course, as a student I have no regular income. I already move £1k per month in and out of the Vantage account to comply with its terms - is there any chance Santander wouldn't allow this? Is there actually a salary requirement or is that an MSE guide simplification?

Can anyone see a reason for me not to do this? Apart from Santander's customer service :P

edit: Forgot to mention - I already have an Abbey First Home Saver and an eSaver but no current account with Santander. I presume those don't disqualify me?

Baldur

dandelions wrote: »

I already move £1k per month in and out of the Vantage account to comply with its terms - is there any chance Santander wouldn't allow this?

No, that's certainly what I do.

One of the problems with Santander is that, while the account accepts inward Faster Payments, outgoing ones, especially those over £300, are virtually non-existent/very haphazard other than by Standing Order.

If you can live with the limitations & generally poor customer service of Santander, it will pay you around £8 per month interest on a £2,500 balance but I certainly wouldn't tolerate it as my main account.

dandelions

Glad to hear about the funding, I'd forgotten about their Faster Payments not working very well. I have a standing order set up to come out of my Santander eSaver into the Vantage monthly so I haven't normally had to worry about their Faster Payments til now, but the FP are fairly rubbish.

Toe-Jam

Got a letter today from Santander to say they accidently sent my statements to the wrong person in December 2010. First i'm hearing about it now.

slush

We are getting Santander statements that don't belong to us, and online access to their accounts, despite numerous complaints to Santander.... they have still done NOTHING to put it right!

Would you be happy with someone else having access to your accounts? No, me neither!

Your money would be safer under the mattress than with Santander.

pwuk

One good reason is that once you move; it's irreversible - the only way to reduce the service is to close you account.