Savings accounts that allow debit card deposits?

ECR

Are there any savings accounts that allow deposits to be made into the account using your debit card? I have a vague recollection of seeing an account a few years ago that allowed this but don't seem to be able to find it.

YorkshireBoy

I'll start you off with YBS and their Internet Saver.

However, you'll (generally) start earning interest earlier if you push the money by FP from your current account online area instead of using a debit card.

innovate

Fewer and fewer savings accounts providers seem to now allow this. Tesco's and YBS (I think) recently changed their terms to remove debit cards from the deposit methods.

Why would you want to use a debit card for your deposits?

Gromitt

Newcastle allow it for the first payment, but then it's FP for any subsequent payments. I think the problem is that it costs them much more to process than a simple FP transaction, so they don't like you using it much. The ones that do accept such deposits will typically have a lower interest rate as a result.

YorkshireBoy

innovate wrote: »

YBS (I think) recently changed their terms to remove debit cards from the deposit methods.

That's a change I've missed then!

Just checked my ex-Egg Savings account, Internet Saver, and Offset Savings account (based on their Cash Transactor), and all are still accepting deposits by debit card.

Did you receive a notice of variation? If so, what's the effective date please?

innovate

I might have mixed it up with someone else, YB, but there was definitely one other than Tesco, too, who recently announced an end to offering debit card deposits. I didn't keep the letters since I never make any debit card deposits anyway, so didn't care much. But somehow YBS does ring a bell in the context.

I would still be interested why the OP wants to use a debit card for deposits into savings accounts.

YorkshireBoy

innovate wrote: »

I would still be interested why the OP wants to use a debit card for deposits into savings accounts.

I can think of a few reasons...

1. They don't bank online.
2. They do bank online but this will be a large payment and they don't want to mess around with a test payment first and/or don't trust themselves to get it right.
3. Someone else may be funding the OP's savings account.
4. Perhaps they weren't aware of the 'lag' built in and associated loss of interest?

Maybe the OP will be back to answer your question?

innovate

Yes, hopefully OP will be back to answer the Q. I am intrigued.

ECR

innovate wrote: »

I would still be interested why the OP wants to use a debit card for deposits into savings accounts.

My current account is with Nationwide and frankly I found their internet banking so awful and unuser friendly, that I gave up trying to use it years ago. I have a standing order for regular saving, but sometimes I have a little bit of money left over that I like to save. It is a lot of hassle to take cash out to deposit and with postage costs it is expensive to make a postal deposit by cheque.

Maybe I should instead be looking to move my current account, but it seems like a lot of hassle.

YorkshireBoy

ECR wrote: »

My current account is with Nationwide and frankly I found their internet banking so awful and unuser friendly, that I gave up trying to use it years ago.

I can't say I share your view. I currently have 3 current accounts, 2 ISAs, and a credit card with them...and haven't had cause to grumble at all.

innovate

I also can't share that view. I have a large number of current accounts, all of which I manage online. Amongst my accounts are several Nationwide current and other accounts, and their online banking is without a shadow of a doubt amongst the best in the market. Perhaps you should try it again, OP, if you haven't used it for years. The other option you have is telephone banking

I agree, it is a lot of hassle to take cash out to deposit and with postage costs it is expensive to make a postal deposit by cheque - - - - but why do you need to do that? You can make a faster payment into just about any savings account I can think of.

Having said this, why are you putting your spare cash into a savings account? How much interest are you getting in the savings account? I bet you could get something like 5-10 times more in other accounts with very little extra effort.

Also, if you want to change your current account, you can do this very easily, using the 7-day switching guarantee. You'll be hard pressed to find many better alternatives to Nationwide though, not just regarding the online banking.