Can I make 11% interest in the first year!!

211sam

So I have had my savings in a savings account for a couple of years, I've never paid too much attenion to bank accounts, just used them for storage and access to money. Now however I've saved just shy of £5500 and am using it to go traveling in just under a year and would like to earn as much as possible for that point.

On this website I've found various bank accounts that I think I can open to make over £500, but want to check with this forum for adivce, on if it will work or any problems I might have overlooked.

So I currently have 1 current account that my bills and wages go into, but in this senario lets forget about my wage because I only want my savings to make the money.

So Step 1- Open a secondary current account with my bank(bank of scotland)

Step 2-Switch my primary Bank acount to Halifaxs Reward account, this pays £100 plus £5 a month, on the condition that I pay in £750 a month and have 2 direct debits.

Step 3- Switch my Secondary bank account (that I opened with BOS) to First Directs current account, they also offer a £100 switching bonus, (plus if you stay with them for 6 months and then switch away, they'll pay you another £100).

Step 4- Open 2 TSB Plus account, these offer 5% interest on balaces up to £2000, as long as you pay in £500.

Step 5- I have £5500, so first I'll deposit £2000 in each of my TSB accounts, leaving me £1500.

Step 6- deposit £1000 in my Halifax account and set up standing orders in each account so the £1000 goes through them once a month.

Step 7- After 6 months, I'll switch my First Direct current account to a Co OP current account, allowing me to collect the £100 leaving bonus from First Direct and collect £100 joining bonus from Co op.

So after 10 months, I would have made £300 from FD, Halifax and co op for joining fees
£100 from FD for leaving fees
£163 from TSB from interest(before tax)
£50 from Halifax for their £5 a day,
So thats £613!!
Thats the skelonton of my plan. I still have £500 spare from the start of the plan which I could put in a Nationwide flexidirect and include this account in the chain. I know what I said at the start but I'll actually keep my original current account with Bank of scotland for my Salary and day to day spending, and have a standing order into the Halifax account to cover the Direct debits, because I dont want to muddle my saving and day to day money.

So any comments, opinions or advice would be great, the link to bank accounts is below!

Icant post links because i'm a new user but if you go to the home page and click "best bank accounts", their all there!!

talexuser

If you have 2 TSBs you can send the 500 from one to the other and vice versa, not needing external funding to fulfil the T&Cs. Just makes the rest of the transfers simpler.

Eco_Miser

"best bank accounts" has one missing - You can add Vantage to your BOS account, and earn up to 3% on your day to day money, as well.

surfsister

211 sam that's what I like to see beating the banks at their own games!

Also, I have had one hundred pounds m and s voucher from M & S, and have kept 2 santander accounts as you can get 3% on up to 20k in each plus a payment for some dd's on the account (although a 2 pound fee).

a bit of hassle buy extra cash is always welcome - pity the bankers get millions!! lol!