MSE News: TSB to pay 5% interest on new current account – is it any good?

cdunne · 13 March 2014 at 5:31PM

I have a Sandander 123 current account.

Am I ok to set up one of these and set a standing order from my Santander current account up and then one from TSB to elsewhere per month and still get the interest rate?

It's not clear in the info that it must be your only current account. I agree about the max £2500 and £1000 per month wording, perhaps they've changed it?

Hmm an update.. I'm assuming the answer to my question is yes, prompted by this I've just set up current accounts with Nationwide and Yorkshire Bank (another name for the Clydesdale current account direct but you can access branches at locations other than London). I'll then set up a standing order rota to transfer money between the accounts. The lady I spoke to at Yorkshire Bank actually said you are ok to transfer the money back to the same account that paid it in as long as £1000 / month is transferred into the account.

Deneb · 13 March 2014 at 5:43PM

Jogle wrote: »

Yes, I noticed that too. As the account hasn't been officially launched, the linked conditions will change to those set out in the press release

There is an identical page on the Lloyds website which relates to old Plus account upgrades to standard current accounts which haven't been available since 2012, or 2009 in the case of the Classic Plus account. As the funding requirements and interest rates and the entire text of the pages are identical, I suspect it's more likely to be a dead link left over from TSB's split off of the old Lloyds TSB website.

Savings_Dave · 13 March 2014 at 11:17PM

I also think Lloyds Bank themselves may launch their own version of this - will Lloyds bring back the Plus account with tiered rates upto 5%? A little competition isn't a bad thing...

lynnejk · 17 March 2014 at 1:25AM

cdunne wrote: »

I have a Sandander 123 current account.

Am I ok to set up one of these and set a standing order from my Santander current account up and then one from TSB to elsewhere per month and still get the interest rate?
QUOTE]
Just to say I have been using three bank accounts for the past year and just transfer monies between them to cover the 'minimum payment' every month using direct debit. Just be careful with the dates, and check the totals in each stay within the required limits. One of them finishes paying interest in April so I will change it for a TSB one.

As a non-tax payer it is squids better than an ISA :money: and the monies are there if you did have an emergency, though I covered mine with a credit card and then managed to pay that back without touching my current accounts.

Good Luck
Lx

YorkshireBoy · 17 March 2014 at 1:29AM

lynnejk wrote: »

Just to say I have been using three bank accounts for the past year and just transfer monies between them to cover the 'minimum payment' every month using direct debit.

I think you meant to say standing order.

iAMaLONDONER · 17 March 2014 at 10:05PM

Savings_Dave wrote: »

I also think Lloyds Bank themselves may launch their own version of this - will Lloyds bring back the Plus account with tiered rates upto 5%? A little competition isn't a bad thing...

Unless it's in public transport!

GingerFurball_2 · 17 March 2014 at 10:35PM

Savings_Dave wrote: »

I also think Lloyds Bank themselves may launch their own version of this - will Lloyds bring back the Plus account with tiered rates upto 5%? A little competition isn't a bad thing...

Lloyds have a new current account on the way.