Current a/c game...

coolasacucumber

Thanks for the reply.


Another question, one that may have been asked before... But I can't find the answer...


With £500 needing to be transferred in to the TSB a/c, can I set up a regular tfr from TSB to my FD current a/c for £500 then back again on the same day, so as not to lose out on interest?


I'm guessing if the TSB a/c balance is the same at opening & closing of business, the interest shouldn't be affected?


Cheers my clued up dears

eskbanker

coolasacucumber wrote: »

With £500 needing to be transferred in to the TSB a/c, can I set up a regular tfr from TSB to my FD current a/c for £500 then back again on the same day, so as not to lose out on interest?

I'm guessing if the TSB a/c balance is the same at opening & closing of business, the interest shouldn't be affected?

Yes, it's fine to do that and it won't affect the interest.

YorkshireBoy

eskbanker wrote: »

Yes, it's fine to do that and it won't affect the interest.

...unless there's a problem with the "regular tfr" back from FD.


OP, in your shoes I'd open 2 TSB Plus accounts and keep your savings separate from your day-to-day bank account...especially if using SOs. Each month simply transfer, via cross-funding SOs if you choose - and are absolutely certain you won't let the balances fall below £500 per account, £500 between them.


Even though you can't fill 2 accounts immediately, or in the medium term(?), there's always a chance that TSB will change the T&Cs so that only one sole account is possible (as has happened with many other banks, eg Santander, Lloyds, Halifax).

TrustyOven

I've started doing the current account game too.

Opened a TSB Classic Plus account last week. Got it setup a few hours ago with main current account and faster payments etc. Got a bit of cash transferred out of cash ISA and will send that to the TSB account tomorrow.

Opened a second TSB Classic Plus a few hours ago too - thinking the same as YorkshireBoy - that better to have both ready now before they change T&Cs. I've got enough cash in the ISA to fully fund both TSBs, so that should nearly double the monthly interest I will get (compared to just the ISA's bad rate).

Got the Halifax Reward account already, got my first fiver 3 days ago.

Not sure what's next... Lloyds Club or Nationwide FlexDirect (only for a year). In a few years may open Santander 123 for a more long-term saving.

Had in my spreadsheet an entry for BoS 3% on 5k, 1k funding, but can't find info on the MSE best current accounts page. Hmm.

B_G_B

TrustyOven wrote: »

Had in my spreadsheet an entry for BoS 3% on 5k, 1k funding, but can't find info on the MSE best current accounts page. Hmm.

There is a link on the Bank of Scotland homepage (current accounts with vantage). You can have 3 as well so £15,000.

joe_mcclaine

I've tried this lark twice now.

Just couldn't be bothered with all the faffing about (to earn less in interest and bonuses than my time is worth) so closed all the other accounts.

coolasacucumber

Thanks YB - although I won't be using the TSB a/c for anything apart from savings... And the £500 in and out once a month.


I'm not sure I understand why opening a second account now is beneficial?


Is it incase they change the 5% offer? In which case I'll already have the a/c, so when my savings reach £2k I can just start paying into the second one?


Thanks.

YorkshireBoy wrote: »

OP, in your shoes I'd open 2 TSB Plus accounts and keep your savings separate from your day-to-day bank account...especially if using SOs. Each month simply transfer, via cross-funding SOs if you choose - and are absolutely certain you won't let the balances fall below £500 per account, £500 between them.


Even though you can't fill 2 accounts immediately, or in the medium term(?), there's always a chance that TSB will change the T&Cs so that only one sole account is possible (as has happened with many other banks, eg Santander, Lloyds, Halifax).

SuperHan

coolasacucumber wrote: »

Thanks YB - although I won't be using the TSB a/c for anything apart from savings... And the £500 in and out once a month.


I'm not sure I understand why opening a second account now is beneficial?


Is it incase they change the 5% offer? In which case I'll already have the a/c, so when my savings reach £2k I can just start paying into the second one?


Thanks.

This, and also because Halifax changed their T&Cs after some time to say you could only have one reward account. If they change before you open your second account, you just won't be able to get an extra account.

No harm in having it sat there not doing a lot but with money cycling through it each month.

YorkshireBoy

coolasacucumber wrote: »

...when my savings reach £2k I can just start paying into the second one?

I'd split the savings equally across both accounts, rather than leaving one of them largely dormant for over a year.

eskbanker

coolasacucumber wrote: »

I'm not sure I understand why opening a second account now is beneficial?

Is it incase they change the 5% offer? In which case I'll already have the a/c, so when my savings reach £2k I can just start paying into the second one?

There is also YB's other point about how two TSB Classic Pluses would enable you to do the monthly £500 transfers internally completely within the control of TSB rather than bouncing money out to another provider and back again, which does theoretically open up the possibility of timing issues as YB also alluded to.