First direct as a second current account?

redonion

Not wanting to saddle myself with regular monthly outgoings that would be a burden if I ever became ill/otherwise out of work in my working life, I'd rather stick with Lloyds TSB than switch entirely to first direct.

But the saver looks good, and so does the 125 quid

So, what's to stop me paying my salary into first direct for a year, with the saver, but keeping the Lloyds account open? Would LTSB get twitchy?

Just to be really cheeky: since I assume I have to have online banking if I'm with first direct, and I prefer to avoid that, could I start a standing order to pay everything that comes in straight out again into my Lloyds account? (after I'd opened the saver account, of course)

grumbler

Yes, you can. I have Lloyds Vantage current account, but my salary goes to FD, then gets transferred (except £300) to some other bank.

Gromitt

You don't have to have online banking, you can use telephone banking if you prefer (to setup the standing order)

My salary goes to FD, but its then distributed to TSB, Halifax, Nationwide, etc, to meet the requirements of those.

redonion

grumbler wrote: »

Yes, you can. I have Lloyds Vantage current account, but my salary goes to FD, then gets transferred (except £300) to some other bank.

Thanks. Transferred by standing order?

Has anybody got the £100 from cancelling the account a few days before 12 months is up? Does that mess up the savings account? Now I really feel cheeky.

jonesMUFCforever

There should be no problem as long as you do not have a large o/d facility with Lloyds.

YorkshireBoy

redonion wrote: »

Transferred by standing order?

Best to avoid SOs in my opinion, as weekends and Bank Holidays will almost certainly get in the way. Far better to overcome your reluctance to use online banking.

Has anybody got the £100 from cancelling the account a few days before 12 months is up?

Yes, but it was more than a few days (7 months in as I remember) and a few years ago now.

Does that mess up the savings account?

If you claim the £100 'leaving present' they stipulate you must close all accounts held with them (as per the T&Cs on their website). I'm not sure what happens to the 8% interest already accrued but not yet paid. What does it say about closing the RS on their website?

redonion

Gromitt wrote: »

You don't have to have online banking, you can use telephone banking if you prefer (to setup the standing order)

That definitely helps, but a certain amount of risk is incurred just by having the -- presumably unavoidably activated -- facility there. At LTSB, at least for now, I can avoid it completely. I'm not saying old-style banking is risk free of course, just that I think internet banking is riskier.

My salary goes to FD, but its then distributed to TSB, Halifax, Nationwide, etc, to meet the requirements of those.

So many accounts for similar reasons to me wanting the first direct one? Savings accounts, bonuses?

YorkshireBoy

jonesMUFCforever wrote: »

There should be no problem as long as you do not have a large o/d facility with Lloyds.

Even if the OP has though, it seems as though they'll be transferring all but £300 of their salary back to LTSB.

Unless LTSB's systems are clever enough to distinguish between a BACS Direct Credit and an FP (for £300 less than it was last month and the month before)?

YorkshireBoy

redonion wrote: »

...I think internet banking is riskier.

I have 13 current accounts at the moment - all managed online, and have probably managed well over 120 bank, savings, and credit card accounts online over the last 8-10 years...and never had a problem.

The risk to me is insignificant, so long as you apply some common sense and take reasonable precautions.

innovate

redonion wrote: »

Not wanting to saddle myself with regular monthly outgoings that would be a burden if I ever became ill/otherwise out of work in my working life, I'd rather stick with Lloyds TSB than switch entirely to first direct.

What regular monthly outgoings are you talking about?

redonion

YorkshireBoy wrote: »

Best to avoid SOs in my opinion, as weekends and Bank Holidays will almost certainly get in the way. Far better to overcome your reluctance to use online banking.

You mean it'll mess up the regular saver benefits? Hmm. Does it have to be so regular and precise that bank holidays and weekends matter, then?

Yes, but it was more than a few days (7 months in as I remember) and a few years ago now.If you claim the £100 'leaving present' they stipulate you must close all accounts held with them (as per the T&Cs on their website). I'm not sure what happens to the 8% interest already accrued but not yet paid. What does it say about closing the RS on their website?

It says (http://www1.firstdirect.com/1/2/savings/regular-savings-account):

first_direct_website wrote:

• During the first 12 months:

no partial withdrawals, however the account can be closed in full during this period. In the event of closure, we will pay interest on the balance of your account up to the date of closure at the same rate as would apply to an equivalent amount in our Savings Account or any account that replaces it.

Edit: Re-reading that, I guess that does means you can't take advantage of this and get the £100 AND the 8% both -- since the "Savings Account" rate is just 0.05%.