Regular Savers - if you were me...

doitmyself

Also, why so many RS's? That would be a nightmare to track and you would probably not have enough money to take advantage of the highest interest RS payers? Why not make the maximum contributions to the best RS's?

Also, most Building Societies make you sign a charitable statement so any windfall in a merger would go to charity, so no gain there either!

I would also be interested in a list of 16 RS's that last longer than 12 months as 75% of the ones I know are only 12 months long!

Yeah absolutely stphnstevey. I've already said in a prev post that I'm not a saver of any kind so not a useful poster to this thread but I've never understood why people have multiple accounts. One of them is best, - put all you money in there!
As Stphnstevey went on to say these Reg savers generally have a 12 month term (with pocket money limits). What's the point of having 16 or 30-something or whatever it was? It must be something else, it ain't the interest...

Afahmaep

Suzey wrote: »

Bloody hell, how do you cope with the admin? I had to set up a spreadsheet when I had three!!!

Suze

I use a template/spreadsheet with the aggregate amounts
[HTML] 1ST 5TH 15TH VAR
NWD (9) £2,475.00 £750.00 £0.00 £625.00 £1,100.00
HSBC(8) £3,000.00 £1,000.00 £1,000.00 £1,000.00 £0.00
LTSB(3) £1,000.00 £1,000.00 £0.00 £0.00 £0.00
HLFX(3) £775.00 £775.00 £0.00 £0.00 £0.00
BARC(7) £820.00 £820.00 £0.00 £0.00 £0.00

£8,070.00 £4,345.00 £1,000.00 £1,625.00 £1,100.00[/HTML]
This is this months April 2007 requirements.There are now only 30. It shows how much to have in a particular account on a particular day. That is why I use different accounts. There is only a maximum of £1000 coming out of any account on any given day. £4345 is coming out on the 1st overall and so it's been broken down into different accounts. If I was ill or forgot or there was a banking problem the overdraft on the account would swallow up the shortfall (excluding HSBC who want to charge for an Overdraft). Also £1000 is relatively easily obtainable to make as a cash deposit on the due day. As long as you are in credit by the end of the day everything's fine, (one reason I prefer not to use Alliance & Leicester who apply DEBITS before CREDITS and charge you accordingly.

.

Suzey wrote: »

Which high interest savings account do you drip feed from?

Suze

There is no straightforward answer but I do have Bradford & Bingley, Birmingham Midshires, Yorkshire BS Internet Saver & E-Saver! and others.
They have all been market leaders at one time or another and why I haven't gone for ICICI or Icesave whose rates I feel will not be maintained.

bristolleedsfan

doitmyself wrote: »

I've already said in a prev post that I'm not a saver of any kind so not a useful poster to this thread but I've never understood why people have multiple accounts. One of them is best, - put all you money in there!
As Stphnstevey went on to say these Reg savers generally have a 12 month term (with pocket money limits). What's the point of having 16 or 30-something or whatever it was? It must be something else, it ain't the interest...

those who are not "savers of any kind" may not be aware of how low interests rates are on most non regular savings accounts and people that are making comments on what other people are doing are not aware of their full personal circumstances ie some will have their morgages paid off so living morgage/rent free, others can afford to save more from their salary per month than one top reg saver will allow and others may well have 10,000 or 20000 or more in savings accounts paying significantly less interest than the reg savers pay and are filtering their savings into these accounts to earn more interest, re the comments about some regular savings accounts may be used for other purposes,some posters have admitted to that, perhaps "non savers" are not aware that two building societies mergers paid out in 2006 ( universal and lambeth) paying out minimum 400.00 each to qualifying savers,

"One of them is best, - put all you money in there!" im sure if there was one account paying 6.25% gross + on a lump sum with no strings people would do that but sadly their isnt

CLAPTON

bristolleedsfan wrote: »

you have to consider that with nationwide reg saver if u miss a payment for any reason at all or any month u dont make a 200-250 payment then u get a lower rate for that month , there are a number of other building society reg savers that pay 6.25%-7% on 15-20.00 to 500.00 a month or even 1000.00 a month without such clawbacks once you are "hooked" :rolleyes:

yep nationwide flexi account with debit card is very good ( not sure if it would be worth paying a monthly fee for though :rotfl: )

here it is apparent " proud to be different" reg saver from nationwide, apparent fortune has been spent advertising it on peak time tv, wonder what the small savers make of it :rolleyes: wonder what the large savers make of it :rolleyes:

"How interest works
Tony is saving up for a deposit on his first home. So he decides to pay in £150 a month by regular transfer from his current account, and earns 5.75% (gross p.a./AER) interest on his savings. But he's not tied to that amount. As the following table shows, our Regular Savings account is flexible enough to adapt as his financial circumstances change.

Monthly increase in balance Total balance Rate applied to total balance that month (Gross p.a./AER)
Jan Pays in £150 £150 £150 5.75%
Feb Pays in bonus of £100 on top of regular £150 £250 £400 6.25% :j
Mar Regular payment of £150 £150 £550 5.75%
Apr Regular payment of £150 followed by a withdrawal of £100 £50 £600 4.25%
May Regular payment of £150 £150 £750 5.75%

or this example :rolleyes: :rolleyes: :rolleyes:

Anna wants to save towards the cost of a family holiday. She decides to save £100 a month into the account and earns 5.75% (gross p.a./AER) on the balance of her account. But again the account gives her flexibility to reduce her payment or, with Christmas looming, even cancel her payments and make a couple of withdrawals, before starting to save again.

Monthly increase in balance Total balance Rate applied to total balance that month (Gross p.a./AER)
May Pays in £100 £100 £100 5.75%
Jun Pays in £100 £100 £200 5.75%
Jul Jul Pays in £50 £50 £250 4.25%
Aug Pays in £100 £100 £350 5.75%
Sep Pays in £100 £100 £450 5.75%
Oct Pays in £100 £100 £550 5.75%
Nov Withdraws £50 - £500 4.25%
Dec Withdraws £100 - £400 4.25%
Jan Pays in £100 £100 £500 5.75%

Annual Equivalent Rate (AER) is a notional rate which illustrates the contractual rate as if paid and compounded on an annual basis.

i agree with what you say but the N/W has some advantages that may suit the OP.



i.e. if you pay in the max 250 then you get the 6.25% on your money, NOT just for the first year like may of the others but you can continue building up the saving the next year as well. So by the end of the second year you have 6,000 earning 6.25% and the end of the third year 9,000 etc.
This wouldn't suit anyone who wants to save less than 200 each and every month or make withdrawals for holidays but would suit people who can afford to save 250 every month.

basically its horses for courses and you have to work out whats best in your own circumstances.

and by the way there is no 'fee' to open or maintain a N/W current account and get the benefit of their debit card.

stphnstevey

bristolleedsfan wrote: »

those who are not "savers of any kind" may not be aware of how low interests rates are on most non regular savings accounts and people that are making comments on what other people are doing are not aware of their full personal circumstances ie some will have their morgages paid off so living morgage/rent free, others can afford to save more from their salary per month than one top reg saver will allow and others may well have 10,000 or 20000 or more in savings accounts paying significantly less interest than the reg savers pay and are filtering their savings into these accounts to earn more interest, re the comments about some regular savings accounts may be used for other purposes,some posters have admitted to that, perhaps "non savers" are not aware that two building societies mergers paid out in 2006 ( universal and lambeth) paying out minimum 400.00 each to qualifying savers,

"One of them is best, - put all you money in there!" im sure if there was one account paying 6.25% gross + on a lump sum with no strings people would do that but sadly their isnt

Again, it depends on your strategy
a) Looking for windfalls = open every BS account your can think of!
b) Looking to get the best interest on your savings - maybe concentrate on a few of the highest rates (or longest rates),maximising your contributions and work down from there

I don't know about 6.25%+ with NO STRINGS. Depends what NO STRINGS means, but A+L had, Lloyds, Halifax and a few others have rates this high.

Afahmaep

stphnstevey wrote: »

Again, it depends on your strategy
a) Looking for windfalls = open every BS account your can think of!
b) Looking to get the best interest on your savings - maybe concentrate on a few of the highest rates (or longest rates),maximising your contributions and work down from there

YES to (a) and YES to (b).

Except (b) first and then (a)

bristolleedsfan

CLAPTON wrote: »

i agree with what you say but the N/W has some advantages that may suit the OP.
i.e. if you pay in the max 250 then you get the 6.25% on your money, NOT just for the first year like may of the others but you can continue building up the saving the next year as well. So by the end of the second year you have 6,000 earning 6.25% and the end of the third year 9,000 etc.
This wouldn't suit anyone who wants to save less than 200 each and every month or make withdrawals for holidays but would suit people who can afford to save 250 every month.

basically its horses for courses and you have to work out whats best in your own circumstances.

and by the way there is no 'fee' to open or maintain a N/W current account and get the benefit of their debit card.

absolutely correct what u say however u may not be aware that there are numerous regular savers accounts which are offered by other building societies that pay 6.25% gross and above on amounts as little as 10.00+ to 250, sometimes to 500 and sometimes to 1000.00 a month and allow 1/2 withdrawals a year whilst still retaining the top advertised rate heres some examples all variable rates some allow you to miss a payment or 2 and still get the top advertised rate, all these carry on after the 1st year, a few have max overall limits like 15000 and 20000 from memory

Loughborough ( 10.00-250 pcm ( per account) 8.00 gross ( guaranteed 2.50 % gross above base rate until 310399) now postcode restricted for new members to those living in LE, NG OR DE
yorkshire 10.00 - 500 pcm( 7.00% gross)
monmouth 20-1000 pcm ( 6.25% gross)
scarborough 15-250pcm ( 6.3% gross)
Bath 20-250pcm ( 6.5% gross)

i would like nothing more than to plug nationwide as having a wonderfull savings account, sadly the largest building societies never did pay the best savings rates, was the small/medium building societies that often paid the better rates hence the reason they are being swallowed up by the larger societies imho

comment about dont know if flexi account "would" be worth a monthly fee is in direct response to reported comments from nationwides new chief executive who has reportedly said that he supports an end to free banking and that while nationwide would not lead an end to free banking they would follow others in introducing a monthly fee on current accounts

heres a link to an article on the subject dated 190207 with a picture of nationwides new CE just in case u missed it i like backing up what i say by facts and figures

http://www.thisismoney.co.uk/saving-and-banking/article.html?in_article_id=417624&in_page_id=7

bristolleedsfan

stphnstevey wrote: »

I don't know about 6.25%+ with NO STRINGS. Depends what NO STRINGS means, but A+L had, Lloyds, Halifax and a few others have rates this high.

only regular savings accounts that end after a year or so, if these products are taken from the institutions you mention a new home needs to be found for the savings at the time of their forced end dates hence the term " recycling money"

gelato_cat

Me too - could someone PM me or post it here please?

ta!

Suze

stphnstevey wrote:

I would also be interested in a list of 16 RS's that last longer than 12 months as 75% of the ones I know are only 12 months long!

bristolleedsfan

Suzey wrote: »

Me too - could someone PM me or post it here please?

ta!

Suze

hi suze, most building societies offer regular monthly savings accounts that last longer than a year, for apparent reasons they dont offer rates as high as the ones where you have to take your money out after a year, but have advantage of being able to regularly save for a longer period of time at a higher rate than most savings accounts, after a year their is often a lump sum that has been built up which in the second and third year etc is attracting a very keen rate of interest, rather than list the ones i have here is a link to list of all the building societies, is easy to google search them and look for the reg monthly saver rates and terms and conditions, most offer high rates on both small and high monthly subs, most offer 1 or 2 penalty free withdrawals and some allow you to miss 1 or 2 payments a year without penalty

http://www.bsa.org.uk/docs/consumerpdfs/assetslistjan2007.xls

heres a few more paying slightly below the earlier 6.25% post all are variable rates,last longer than 1 year, gross rates

Newbury 6.10 ( 10.00-250 pcm, Postcode restrictions)
principality 5.95 ( 20-1000pcm)
Skipton 5.85 ( 10-1000 pcm

another philosophy behind opening numerous relatively high paying monthly reg savers ( higher than mainstream savings accounts) is that because withdrawals are limited to between 0-2 a year without penalty on these monthly savers, opening a few increases the no of instant access withdrawals a year that can be made e.g 5 monthly savers gives 0-10 instant access withdrawals without penalty if needed, also by not "keeping all eggs in 1 basket" if some providers dont pass base rate increases on in full,( scarborough BS passed on 0.05% increase on its monthly saver in response to the last 0.25% base rate increase ) if you are allowed to vary the value of monthly payments then easy to increase monthly payments where base rate increases have been passed on and decrease monthly payments into those that havent passed on base rate increase in full :cool:

and hey all building society mergers/conversions to plc that have taken place to date have all been orchestrated by the societies board of directors, there is absolutely nothing wrong with hoping to be in the right place at the right time should any more "consolidation" announcements be made by boards of directors of any of the existing societies :cool: Irish Nationwide BS has in the last few days made such an announcement http://www.finfacts.com/irelandbusinessnews/publish/article_10009588.shtml