A&L Direct Saving - Warning

Graham_Devon

I have wrote this in a couple of threads but I think it would be well worth others who may be thinking of opening one of these accounts to also have knowledge of this.

I initiated a transfer of £25 to my direct saver account from my current account to try the new account out on Tuesday 2nd January. This had an 'action date' of 12th of January which I thought was a little strange but thought it might go a bit quicker.

I had then recieved funds from my other savings account into my current account, and initiated a transfer on Friday 5th January of £15,000 to my direct saver account. This also had an action date of 12th Jan.

Nothing then happened at all until 12th Jan when it was showing in my account and money got taken from my current account on 13th Jan.

Money is now sitting in my A&L Direct Saver. However, available balance STILL shows as £0.00. So, in effect, A&L have my money in an 'easy access' savings account and there is nothing I can do about it if I wanted to withdraw it.

I have now sent the remainder of the lump sum that I wanted in this account (I have another ICICI account I can use for the smaller, no penalty withdrawal if I need it). This last sum was initiated 11th Jan with an action date of 16th Jan. 17th Jan (today) it has appeared in my A&L account, but obviously not available.

So basically my fund (this is the initial £25) have been out of action since 2nd Jan. It is now the 17th of January and I still cannot take that out should I wish to do so, nor can I move it or do anything with it as its not available to me.

That's 15 days. 11 days should you exclude the weekends. (and it could go on for longer).

I don't even know if I'm earning interest if it's not available.

I'm now extremely worried about the time it's going to take and the interest I'm going to lose when I withdraw my funds. If it takes another 11 working days it's simply stupid, as weekends will fall in there.

I so wish I had never opened the account now and instead of chasing a 0.15% increase had stuck with what I had.

Does anyone have any answers as to:
A) Why if I tell the system to take £x from my account it takes 5 working days just to start it.
Why it then takes god knows how long to become available.
C) If this is the same when I withdraw.

I thought it would be ok when I do withdraw, as I can do it on the 1st of the month, but based on deposits, I'd be lucky to have the money back in my current acc half way through the monthm and then I would need to transfer elsewhere. That's going to lose me a whole months interest!

This mistake, I think, has been costly! I just hope they up the rates in line with the BOE rate so I don't have to take it out.

I'd love to hear other peoples stories on how they have found it.

YorkshireBoy

Graham_Devon wrote:

Does anyone have any answers as to:
A) Why if I tell the system to take £x from my account it takes 5 working days just to start it.
Why it then takes god knows how long to become available.
C) If this is the same when I withdraw.

I thought I'd answered these questions the last time you posted them, but here is my understanding again...

A) It doesn't (or rather shouldn't). I don't have the Direct Saver account, but I do have an Online Saver 2 account. If I action a DD 'pull-in' from the A&L end on Monday, the funds leave my current account (Yorkshire Bank) on Wednesday and arrive in my A&L account the same day (day 3).

2 reasons...A&L are not a clearing bank (I believe), and DD's can be recalled by the sending bank. They therefore keep hold of your money just in case. Many savings accounts operate like this, ING Direct & YBS Internet Saver being two of the ones that I have.

C) No (or at least it shouldn't be). If I action a BACS 'push' from A&L on a Monday, the funds arrive in my current account on Thursday, because A&L hold on to the funds for an extra day (which is annoying, but 'bearable'). Because my current account provider is a clearing bank, the funds are available to be withdrawn/moved on elsewhere immediately they hit my account.

Regards you interest question...you will be paid interest on your funds as soon as they arrive at A&L.

Finally, only the first DD 'pull-in' takes 8 working days to hit your account. Subsequent transfers take the usual 3 days. This is why your first transfer-in (to accounts such as these) should be for a token amount, eg £1.

BTW, the answers to most of your questions can be found on the A&L site in the T&C's, user guide, and FAQ's.

Graham_Devon

Thanks, remember you answering one, must have missed the others.

The token amoutn was £25. But non of the deposits have taken 3 days. All taking forever.

Maybe I'm being impatient, but never had a savings account quite like this before, normally a 3 day turnaround and I'm done and I had a few.

Was starting to get worried as 2nd january - 17th January seems a LONG time to me! Egg was showing instantly and cleared in two working days, but that was debit card. So I'm probably just used to having quicker access to my money if I need it.

As long as interest is paid without it being available, thats ok.

Thanks for answering the withdrawal question too, would have had a hernia waiting as long as it's all taken so far!