Santander when to transfer money

Alan01252

Quick question:

Does anyone know/can find in the terms in conditions (I've tried I can't) whether interest will be calculated if there's no direct debits set up yet?

I've transferred more than two direct debits over but they are not currently listed in my account when I view the details on-line. So I'm assuming they take a little while to transfer across.

Any help greatly appreciated.

(I realise transferring the money early by five days is only going to lose me pence, but I like my pennies! )

innovate

what account are you on about?

Alan01252

Whoops, that would have helped. It's the 123 current account.

Mickygg

Yes direct debits can take between 2 and 10 days to set up. Mine took between 2 and 6 working days to show.The t&cs say you need to have 2 dds set up, so I think they need to show before Santander will know you satisfy the criteria and pay the interest.

YorkshireBoy

Mickygg wrote: »

so I think they need to show before Santander will know you satisfy the criteria and pay the interest.

There's a difference between calculating/accruing interest, and paying interest though.

What we don't know is 'how' they calculate each days interest (because it's not specified in the T&Cs). For example, do they run a calculation each day saying...

IF DDs >= 2,
THEN interest = closing balance x 2.96% / 365
ELSE IF Dds <2,
THEN interest = 0

Or do they assume each day that there's at least a couple of DDs set up, then check at the 'billing period' end date to see if they're set up then? If they are they 'pay' it?

I don't think anyone here will *know* what their systems do (although they may say what happened to them), so the question will be best asked of Santander. If you get the answer you want to hear then be sure to take a name and number!

On your "pennies" subject, if you're moving £20K from an account paying 1.5% AER then your worst case scenario is a £3.24 loss. How much is a pint of beer in your area?

Alan01252

Fantastic answer YorkshireBoy.
Don't suppose you're a programmer from that pseudocode you wrote?

I'll keep the money where it is till the DD's come through, just in case, a pints a pint after all!

YorkshireBoy

Alan01252 wrote: »

Don't suppose you're a programmer from that pseudocode you wrote?

No I'm not (as the programmers amongst us will be able to tell from what I wrote ), but I have done a little bit in a previous life.

Herbalus

YorkshireBoy wrote: »

I don't think anyone here will *know* what their systems do (although they may say what happened to them), so the question will be best asked of Santander. If you get the answer you want to hear then be sure to take a name and number!

It appears Santander either don't know or at least aren't willing to tell me. I sent a secure message (I realise the phone might have got a more appropriate response) asking if interest is given for the whole of the first month if the direct debits are set up at any point within that month, and they sent me back the terms and conditions: "you need to set up 2 direct debits to get interest etc..."