Close and Reopen Regular Saver Accounts?

Schwade

Hi all,

I was looking at the HSBC Regular Saver account and it gives you 8% interest (max 3000 pounds) for 12 months if you regularly save money.

http://www.hsbc.co.uk/1/2/personal/savings/regular-saver

Would it be possible to close the account and reopen the account so that I keep getting 8% on 3000 pounds?

Any help appreciate!

Schwade

alastair_h

Schwade wrote: »

Would it be possible to close the account and reopen the account so that I keep getting 8% on 3000 pounds?

Most only stay open for a short time. The 8% on £3,000 equates to about 4% AER, as you only have the full £3k in for the last month usually. If you have more than £3k to invest, it would need to go elsewhere.

Nothing stopping you as long as it's still open, bearing in mind above.

thenudeone

Almost certainly not. You can only pay the normal monthly amount into the new account, not the balance from the old account.

atush

You can open a new acct, but only for 250/month, 500 for a couple. the 'old' money must be invested elsewhere unless you 'recycle' it through your acct at 250/mo.

noh

You cant close the accounts and still get the 8% interest.
You can wait to maturity and then open a new account on whatever terms are then available.

oldfella

regular savers usually transfer to low interest accounts at the end of the 12 months, you need to move the money out, close the account, then open another one and start over again

adindas

Look at their summary Box here.
http://www.hsbc.co.uk/1/2/personal/savings/regular-saver/summary-box

"Interest rates (AERs)
Fixed rate for 12 months

Interest calculated on daily cleared balance and paid on the anniversary of account opening"



It is fixed for 12 month so close it after 12 month and the interest have been paid. Next day open a new one again. This is also what I have done.

Schwade wrote: »

Hi all,

I was looking at the HSBC Regular Saver account and it gives you 8% interest (max 3000 pounds) for 12 months if you regularly save money.

http://www.hsbc.co.uk/1/2/personal/savings/regular-saver

Would it be possible to close the account and reopen the account so that I keep getting 8% on 3000 pounds?

Any help appreciate!

Schwade

opinions4u

alastair_h wrote: »

Most only stay open for a short time. The 8% on £3,000 equates to about 4% AER

The AER is 8%. No ifs. No buts. It is 8%.

The issue is that the balance isn't (and can't be) £3,000 for the full 12 months.

But please don't perpetuate the nonsense that the AER isn't the advertised AER.

Pay £250 a month in to a 3% easy access account and the AER is 3%.

Pay £250 a month in to an 8% regular saver account and the AER is 8%.

adindas

You will not be able to find instant access that pay 4%., maximum you could get as far as I am aware is 3.1% or something You could optimise the interest by dripfeeding it from the instanst access saving which pay lower to RSA which pay higher.

It does not need a genius to see that you will be better off, as you slowly move from low to high interest rate.

alastair_h wrote: »

Most only stay open for a short time. The 8% on £3,000 equates to about 4% AER, as you only have the full £3k in for the last month usually. If you have more than £3k to invest, it would need to go elsewhere.

Nothing stopping you as long as it's still open, bearing in mind above.