Thinking on switching bank accounts, advice needed.

Geddesi

Hello everyone

I receive the weekly MSE newsletter and I couldn't help but notice the emphasis on best current bank accounts. This got me thinking about switching to a different banking provider as I feel I'm not getting the most out of the accounts I currently have.

At the moment I am with Bank of Scotland, in fact I have been with them all of my life. I have a Silver Account with them (£10 monthly fee for phone and travel insurance + car breakdown cover), an easy access cash ISA (pays 1.25% Gross) and a standard credit card which I pay off in full every month.

I am always in credit with my current silver account, I have savings in my ISA and I always pay off my credit card in full at the end of each month. I just feel I am not making the most of my money with Bank of Scotland.

I have heard of new current accounts - like the Santander 123 Account - which pays more interest that many ISA's out there. I am just wondering if it would make more sense to switch to an account like that, and transfer all of my money into the one account to maximise savings? I am also looking at getting a more suitable credit card, possibly one that offers cashback, or 0% interest because at the moment with my Bank of Scotland credit card I am getting no benefits at all - and that's with paying it off in full each month.

Another account I was looking at was First Direct, I see they currently offer £125 if you switch to them (which sounds great) but I don't know if that would make sense in the long term.

Any and all advice would be greatly appreciated!

Cheers
Iain

grumbler

Geddesi wrote: »

...I am just wondering if it would make more sense to switch to an account like that, and transfer all of my money into the one account to maximise savings?

What sort of question is it?
Only you know this as what makes sense to me might make no sense to you.
Personally, I don't pay for mobile insurance, pay just £41 p.a. for the full roadside cover and have a free European travel insurance (upgradable to world) with a free Nationwide Flexaccount.
Do your maths.

I am also looking at getting a more suitable credit card, possibly one that offers cashback, or 0% interest because at the moment with my Bank of Scotland credit card I am getting no benefits at all - and that's with paying it off in full each month.

Well, this is a separate question, absolutely unrelated to the current account.
MSE article: Cashback Credit Cards

Another account I was looking at was First Direct, I see they currently offer £125 if you switch to them (which sounds great) but I don't know if that would make sense in the long term.

In the long term they offer a Regular Savings account that currently pays 6% on £300 p.m. i.e. you can make extra ~£50 gross p.a. compared to Santander.

Many people here have several accounts with different banks to take advantage of all benefits and often open new accounts specially for switching and getting a switching bonus.

Archi_Bald

As a BOS customer, it should be very easy to add Vantage to your account. This account pays better interest than the Santander 123 as there is no £2 fee. Mind you, there is no cashback opportunity, either.

For unknown reasons, the account is never mentioned by MSE but it is an excellent account and you are allowed a total of 3 (i.e. 3 x £5,000 max).

http://www.bankofscotland.co.uk/bankaccounts/vantage/

System

Bank of Scotland aren't actually too bad in terms of in-credit interest.
You can add Vantage to your account to get 3% up to £5000.

I don't personally think the Silver account at £10 per month is worth the money unless you share it with a partner or have a very expensive phone - only you can do the calculations.

I don't rate First Direct (other's do) and remember that HSBC branches are pretty sparse in Scotland.

If it's just for the cash, Clydesdale are offering £150 for their accounts at the moment.

Aquamania

Archi_Bald wrote: »

...For unknown reasons, the account is never mentioned by MSE ...

Any suggestion it would be in any way related to poor/non-existant affilation rates would, of course, be robustly denied.

Aquamania

Heng_Leng wrote: »

...I don't rate First Direct (other's do) ....

Just like to add, neither do I, so you are certainly not alone

But they do pay exceedingly good affilation rates, so I am told.
And it all helps keep MSE free for us to access ...