HSBC: 6% (fixed) on Current Accounts for new **and existing** customers

YorkshireBoy

K_P83 wrote: »

The difference between this & what i've got now is £6.67 over a year if i've worked it out correctly (account is currently 3.2%).

You haven't!

As I said in post #7 above, the difference is around £60.

The difference between 6% and 3.2% is 2.8%
£2,500 x 2.8% = £70
After tax that's (£70 x 0.8 £56

horngkai

it make lots of sense for me though. HSBC is my main account and having interest on my main current account will be great. The only question is I am not clear what they meant by switching for existing customer. Need to go into the bank at some point to ask about this.

rb10

horngkai wrote: »

it make lots of sense for me though. HSBC is my main account and having interest on my main current account will be great. The only question is I am not clear what they meant by switching for existing customer. Need to go into the bank at some point to ask about this.

You need to transfer at least two standing orders and/or direct debits from another account to your HSBC account.

Nine_Lives

YorkshireBoy wrote: »

You haven't!

As I said in post #7 above, the difference is around £60.

The difference between 6% and 3.2% is 2.8%
£2,500 x 2.8% = £70
After tax that's (£70 x 0.8 £56

I always get this wrong.

I calculated it as this:

0.08*2500= £200.
0.2(tax) of £200 = £40.
£200-£40 = £160 net for the year. Divide by 12 months is £13.33333 per month.

Which is strange as i'm sure when i calculated it before i was at about £10 per month.

Then i did 3.2% account:

0.032*2500=£80 (hmm, i've done something different to what i did before!!)
0.2 of £80 = £16
£80-£16= £64 net for the year. Divide by 12 months is £5.333333 per month.


God knows what i did before:T:rotfl:. Is the way i've worked it out in this post correct, or ALSO wrong? :rotfl:

Oh dear. You wouldn't believe i got a B in maths GCSE over 10 years ago. How shocking!!

Milarky

YorkshireBoy wrote: »

Except the "incentive" is only £60, since you'd make the other £60 anyway...in any one of a number of 3%+ savings accounts available at the moment.

So, how much 'work' are people prepared to put in for the extra £60?

Plus 1% extra on the 4% RS* which you could then open at the same time: Av balance £1650 = +£16.50 gross (a tiddler amount in the scheme of things)

£73.20 net BR tax

*other 4% savers are available elsewhere

Gromitt

Whats the 0.08 for? I thought it was 6%, not 8%

I just did:
£2500 * 0.06 = £150 * 0.8 = £120 net.
£2500 * 0.032 = £80 * 0.8 = £64 net.

£120 - £64 = £56 total reward.

The hassle isn't worth £56. Now if they gave me £100 after 3 months as well as the 6% interest (or just the £100) I'd be more inclined to do it.

Jammi

YorkshireBoy wrote: »

So, how much 'work' are people prepared to put in for the extra £60?

This offer is only mildly tempting. Still, it's £60 more than nothing.

HSBC require that the switching form be submitted in branch, and I really don't like visiting bank branches. The eligibility criteria also appears to suggest that they wish to see one months bank statement of the account that is being transferred. If it is possible to qualify and apply for the 23 month 0% credit card offer at the same time, now that would be an incentive.

I have a Santander account that is no longer earning 5%, and looking to close after transferring the direct debits/standing orders to my new Co-op account. I now have to consider whether to set up new SOs on this account and switch, or just close it down. Still not sure It's worth another credit search and a possible rejection.

YorkshireBoy

Jammi wrote: »

This offer is only mildly tempting.

Seems their marketing team are to be applauded then?

They've created an offer that entices and benefits those who intend to switch for a 'long' relationship with their new main account, whilst at the same time dissuading (many of ) the abusers that frequent this and other sites.

After all, the recent £200 offer is likely to cost the Co-op several 10s of thousands of pounds.

Nine_Lives

Gromitt wrote: »

Whats the 0.08 for? I thought it was 6%, not 8%
.

:rotfl::rotfl::rotfl::T

Don't do anything strenuous after being on strong medication. Lol. I knew the figures differed for a reason. Embarrassment just goes from bad to worse doesn't it lol.

Nine_Lives

I was just about to apply for this & then i noticed something....

http://en.wikipedia.org/wiki/First_Direct

First Direct was formed on 1 October 1989 by Midland Bank, one of the "Big 4" banks in the UK. The call centre has famously never closed since this date. In 1992, it became a part of HSBC following the acquisition of Midland Bank.

I'm with First Direct as one of my banks. Do i now no longer qualify as it's part of the HSBC group, or do i still qualify as it's not HSBC?