Just for fun - whats your average interest rate across savings?

enthusiasticsaver

I have about £38000 in 2 x Santander 123 current accounts earning 3%, £35000 in a fixed term Santander cash isa earning 3% (+ 0.10 bonus if Mcilroy wins Masters ), £15000 in a Coventry BS fixed term cash isa earning 2.4% and £11500 in NS and I certificates earning inflation + 0.5% so I guess that means 2.1% as inflation is only 1.6% now I think. I think that works out at an average of 2.5%. Just started on stocks and shares to see if I can get that rate up.

HUMBUG

Blimey! This must take a lot of time opening and managing so many accounts. I would find it almost impossible to keep moving money around to meet the 'rules' for each saving/current account. What I find fearful is the increased risk of identity theft and hacking with so many accounts plus the low but plausible risk of bank computer problems (standing order payments delayed , etc). For example, if someone managed to steal money from one of your accounts (a few years ago, someone cloned my card and emptied my bank account), the whole chain would break down and it would become very difficult to resolve.
Personally , I stick to a current account that pays good interest plus maybe 90 day notice and fixed rate accounts. If I looked at the overall net interest received compared to the capital value at the start of 2014 , it is very poor (maybe 1.5% max). So you are doing incredibly well getting above 2%. I no longer invest in shares after losing several thousand over the last 10 years although I might be tempted to invest again if a 50% 'crash' is on the horizon (as predicted by several 'reputed' people in the USA).

plunt

currently earning 5.31% after tax, mainly being due to stoozing with credit cards and interest free overdrafts. This also doesnt include the choice points earnings i get with my lloyds card

anon_ymous

HUMBUG wrote: »

Blimey! This must take a lot of time opening and managing so many accounts. I would find it almost impossible to keep moving money around to meet the 'rules' for each saving/current account. What I find fearful is the increased risk of identity theft and hacking with so many accounts plus the low but plausible risk of bank computer problems (standing order payments delayed , etc). For example, if someone managed to steal money from one of your accounts (a few years ago, someone cloned my card and emptied my bank account), the whole chain would break down and it would become very difficult to resolve.
Personally , I stick to a current account that pays good interest plus maybe 90 day notice and fixed rate accounts. If I looked at the overall net interest received compared to the capital value at the start of 2014 , it is very poor (maybe 1.5% max). So you are doing incredibly well getting above 2%. I no longer invest in shares after losing several thousand over the last 10 years although I might be tempted to invest again if a 50% 'crash' is on the horizon (as predicted by several 'reputed' people in the USA).

For me, I have a lot of accounts, however my daily bank atm is Bank of Scotland. It used to be Santander. At the other banks, I consider them to be "savings" accounts, and I tend not to use them online or in store for that matter. I've never ever used the cards.. ever!

Though tbh, you can easily get at least 3% from say... Santander, if you make it your main account. I mean you can put in up to 20K. This is ofc assuming you have money between 3 and 20K

TheTracker

HUMBUG wrote: »

Blimey! This must take a lot of time opening and managing so many accounts. I would find it almost impossible to keep moving money around to meet the 'rules' for each saving/current account. What I find fearful is the increased risk of identity theft and hacking with so many accounts plus the low but plausible risk of bank computer problems (standing order payments delayed , etc). For example, if someone managed to steal money from one of your accounts (a few years ago, someone cloned my card and emptied my bank account), the whole chain would break down and it would become very difficult to resolve.
Personally , I stick to a current account that pays good interest plus maybe 90 day notice and fixed rate accounts. If I looked at the overall net interest received compared to the capital value at the start of 2014 , it is very poor (maybe 1.5% max). So you are doing incredibly well getting above 2%. I no longer invest in shares after losing several thousand over the last 10 years although I might be tempted to invest again if a 50% 'crash' is on the horizon (as predicted by several 'reputed' people in the USA).

It doesn't take a lot of work at all. Perhaps 30 minutes aggregate per account initial setup and maybe 1 minute per month management per account max. And usually gain tens to hundreds of pounds per year.

There is perhaps less risk with holding many accounts. Your money is spread in various places so difficult to steal it all, and less held in any one place. I have completely different passwords at each bank (in fact I don't even know my passwords as I let the 1Password app create it). I hardly ever visit those other bank accounts as I have worker SOs collect the interest and send it to my Current Account monthly.

I maintain this on a single sheet of a4 paper showing as a directed graph the Currently set up SOs and DDs so I don't even need to keep it in my head.

If you're scared of SO delays you can simply set up redundant duplicate transfers from different banks and both would need to fail on the same day to cause a problem. Or have the transfers happen weekly rather than monthly. There is essentially no unmanageable risk against your concern.

plunt

I also set up text alerts on Santander and get weekly SMS from Halifax. So no need to log in

HUMBUG

plunt wrote: »

I also set up text alerts on Santander and get weekly SMS from Halifax. So no need to log in

I must say I admire yours (and others on this thread) determination and efforts trying to maximise their savings.

anon_ymous

TheTracker wrote: »

It doesn't take a lot of work at all. Perhaps 30 minutes aggregate per account initial setup and maybe 1 minute per month management per account max. And usually gain tens to hundreds of pounds per year.

There is perhaps less risk with holding many accounts. Your money is spread in various places so difficult to steal it all, and less held in any one place. I have completely different passwords at each bank (in fact I don't even know my passwords as I let the 1Password app create it). I hardly ever visit those other bank accounts as I have worker SOs collect the interest and send it to my Current Account monthly.

I maintain this on a single sheet of a4 paper showing as a directed graph the Currently set up SOs and DDs so I don't even need to keep it in my head.

If you're scared of SO delays you can simply set up redundant duplicate transfers from different banks and both would need to fail on the same day to cause a problem. Or have the transfers happen weekly rather than monthly. There is essentially no unmanageable risk against your concern.

THIS! (Though what exactly ARE redundant duplicate transfers?? )

PEople say to me oh why do you have so many accounts, and then people mock me for doing a "lot of work" for a few pennies, because they assume that the interest rates at banks are around 0.1% or 0.5%....

And I had to set it up once. That was it

Now I make ~£600/year, by doing nothing. Not bad for half an hour to an hour's work...

And some of that interest makes MORE money, even if it's a tiny amount ie: My halifax reward immediately gets siphoned off to my BOS account, making another 2.4% on that fiver every month

My interest from TSB and Lloyds also go in to BOS, so I make a little bit more there as well

(I've got £2000 at two TSB accounts and £5000 at Club Lloyds)

And it's an entirely automated process as well.

Also, at the same time, I have credit cards, yes, but there are some places where credit cards arent accepted, so you have to use debit cards, and then when that bank is down, what do you do, if you dont have another card handy?

wearside_2

My wife (non taxpayer) and I have accounts in:
Santander 3% (Gross)
Two in TSB 5% (Gross) and one 4% Net
M&S just opened for the 100 Cashback. Minimum will be kept in it as it is only 1.6% Net but £5 per month as I have set up two Direct Debits of £5 and eBay (varies).
Yorkshire just opened for the £150 Cashback. Minimum will be kept in it.
Two First Direct Regular Savers 6% (Gross) and 4% (Net).
HSBC Regular Saver (6%) Gross
M&S 6% (Gross)
Newcastle B/Sy Fixed Rate 4.2%
Nationwide 5% (Gross) for 12 months
Lloyds Vantage 3%

It was a faff setting up the various Standing Orders to move the money around and maintain the maximum balance allowed but looking at the amount of interest received I think I am in excess of 4%. In addition I received £1273 from various banks last year from making many complaints regarding the accounts and credit cards that were not set up or maintained correctly!

Johnny_Doe

The vast majority in cash savings doing ok around the 3% mark but s&s Fidelity ISA DOWN 0.5% over 2 years (not cashed it in yet but Long Term not looking good). Yeah investing in shares is a really good idea! (I also lost over 60% on a hyped up "fund" over 10 yrs ago. Think I'll stick to cash in the future as I don't like gambling with my money. I'm sure some smart !!!! will come along and tell me I'm doing it wrong and they are earning 10% etc...