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Lost in Space
the_reductionist
Posts: 48 Forumite
I'm currently swinging a regular monthly lump sum across from my savings acccount to a monthly high interest (12%) regular savings account with another buliding society as recommended by Martin's top tips for maximising savings.
What I'm a little worried about is the time taken to transfer these funds - the societies say allow 5 working days - where is this money in the meantime? On the assigned DD day it leaves my savings account but does not appear for sometimes up to 7 days later! I assume it earns me no interest while it is in limbo? But if this is the case then over the year I could lose around 10 - 12 weeks interest - around a quarter of the year may be lost!
It is a factor to take into account when calculating the benefits or otherwise of moving funds electronically between societies and banks. Maybe it's better to pay cash across the counter each month which seems absurd as it creates more work for them?
Am I correct in these assumptions?
What I'm a little worried about is the time taken to transfer these funds - the societies say allow 5 working days - where is this money in the meantime? On the assigned DD day it leaves my savings account but does not appear for sometimes up to 7 days later! I assume it earns me no interest while it is in limbo? But if this is the case then over the year I could lose around 10 - 12 weeks interest - around a quarter of the year may be lost!
It is a factor to take into account when calculating the benefits or otherwise of moving funds electronically between societies and banks. Maybe it's better to pay cash across the counter each month which seems absurd as it creates more work for them?
Am I correct in these assumptions?
0
Comments
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This is a popular point on these boards. I suggest you try a search to see recent threads, there are many both on here and the current accounts board. Basically the BACS system has not changed since the 60s and is slow.
It is changing from the end of the year though.0
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