Monthly Standing Orders

thebritishbloke

When I'm setting up standing orders between my TSB Classic Plus, Halifax and Tesco bank accounts, can I set the standing order to go to the account and back on the same day, even if the receiving account (i.e. If I were sending from TSB to Tesco, Tesco would be the receiver) had a £0 balance?

I've always just set up the SO to go the next day to be on the safe side. Figured I could be losing out on (granted minimal) interest doing this.

grumbler

thebritishbloke wrote: »

When I'm setting up standing orders between my TSB Classic Plus, Halifax and Tesco bank accounts, can I set the standing order to go to the account and back on the same day, even if the receiving account (i.e. If I were sending from TSB to Tesco, Tesco would be the receiver) had a £0 balance?

Yes - if you are looking for a trouble. The deadline for FP transfer is the end of the next working day.

Graham1

I believe many bank's T&C say that if there is not enough funds in an account to do an outgoing standing order (at the time in the early morning when they process these) then they reattempt them later in the day. But you are at risk of an (unauthorised) overdraft charge if it doesn't work and one account is left with a negative balance. You can do smaller weekly transfers rather than one big monthly one if the account has limited funds.

msallen

You probably could but its risky if you don't have enough to cover the outgoing should the incoming be delayed for any reason.

You won't be losing any interest by separating SO's by a day or two (personally I leave three days in between) as the cash is always in one of the accounts earning interest.

Edited to expand a little:

What I actually do is...
If the receiving account has a constant balance big enough to cover the outgoing should the incoming be late, then I set the SOs for the same day - especially if the receiving account is at or near the ceiling at which the preferential interest rate is applied.
If the receiving account _may not_ be able to cover the outgoing if the incoming is late, then I leave three days between them. However this should only be a temporary situation as the whole point is to to use these as savings accounts, so there would be no point if they didn't contain any cash to earn the interest on.

Game_Over

thebritishbloke wrote: »

When I'm setting up standing orders between my TSB Classic Plus, Halifax and Tesco bank accounts, can I set the standing order to go to the account and back on the same day, even if the receiving account (i.e. If I were sending from TSB to Tesco, Tesco would be the receiver) had a £0 balance?

I've always just set up the SO to go the next day to be on the safe side. Figured I could be losing out on (granted minimal) interest doing this.

Why on earth do you have so many bank accounts if you don't have the funds to take advantage of their generous interest rates?

:huh:

I see you've attempted to open an account with FD recently too
https://forums.moneysavingexpert.com/discussion/5115997

thebritishbloke

grumbler wrote: »

Yes - if you are looking for a trouble. The deadline for FP transfer is the end of the next working day.

Interesting. I'm a bit confused by the whole thing since one of my SO's had both of the transfer days on the weekend (one after the other), but they both completed successfully on the Monday. Guess it's best to just not risk it for the sake of a few pence in interest.

Game_Over wrote: »

Why on earth do you have so many bank accounts if you don't have the funds to take advantage of their generous interest rates?

:huh:

I see you've attempted to open an account with FD recently too
https://forums.moneysavingexpert.com/discussion/5115997

It'd be good if you actually offered advice rather than just posting the same thing on a couple of my threads. Most of my accounts are full, and I have a fixed term saver due to mature so I'm getting everything setup.