Santander 3% 20k savings current account

Chris5 · 31 January 2015 at 9:19AM

Hello. I'm thinking of opening one of these accounts and making full use of the 3% on20k savings. I have a few questions...

It says you need a minimum £500 deposit each month. Does this have to be your salary or can it simply be a standing order from another account which I can then transfer back out a few days later?

Is the interest paid monthly or annually or do I have the choice?

I can switch 2 DD's no problem.

Thanks in advance.

YorkshireBoy · 31 January 2015 at 9:37AM

Chris5 wrote: »

It says you need a minimum £500 deposit each month. Does this have to be your salary or can it simply be a standing order from another account which I can then transfer back out a few days later?

Does "it say" it has to be salary? That would exclude all those in retirement, would it not?

Is the interest paid monthly or annually or do I have the choice?

That question is answered just two clicks away from their homepage, on both the "at a glance" and "full details" tabs when viewing the 1-2-3 account particulars...so you don't even have to delve deep into the T&Cs.

It's even one of their FAQs.

Chris5 · 31 January 2015 at 9:42AM

YorkshireBoy wrote: »

Does "it say" it has to be salary? That would exclude all those in retirement, would it not?That question is answered just two clicks away from their homepage, on both the "at a glance" and "full details" tabs when viewing the 1-2-3 account particulars...so you don't even have to delve deep into the T&Cs.

It's even one of their FAQs.

Thanks for your prompt reply. I was just reading the account summary in a tweet by :money: and it didn't mention these things.

Harveys_2 · 31 January 2015 at 9:48AM

Chris5 wrote: »

Hello. I'm thinking of opening one of these accounts and making full use of the 3% on20k savings. I have a few questions...

It says you need a minimum £500 deposit each month. Does this have to be your salary or can it simply be a standing order from another account which I can then transfer back out a few days later?

Is the interest paid monthly or annually or do I have the choice?

I can switch 2 DD's no problem.

Thanks in advance.

Yes can be a standing order from another bank account
You can transfer it back out the same day
Interest is monthly on the date you opened the account

Chris5 · 31 January 2015 at 9:52AM

Harveys wrote: »

Yes can be a standing order from another bank account
You can transfer it back out the same day
Interest is monthly on the date you opened the account

Thank you.

Says Interest is monthly but you need to have £1000 in to receive the interest

Fund the account with £500 a month (a minimum balance of £1,000 is required to receive interest).

So should I transfer in £1000/month to receive the interest?

Thanks

YorkshireBoy · 31 January 2015 at 9:57AM

Chris5 wrote: »

So should I transfer in £1000/month to receive the interest?

No. To receive any interest and/or cashback you need to pay £500 a month in (plus meet the other pre-requisites).

How much interest you earn/accrue each day will depend on that days closing balance. If it's £1-2K you'll earn at the rate of 1%, if it's £2-3K it's 2%. And if you've over £3K it's 3%. All earned/accrued daily and, as you now know, paid monthly.

mgdavid · 31 January 2015 at 12:10PM

To save you falling foul of some rule or term that you later claim you didn't know about, I do strongly suggest you actually go to the website and read the Ts & Cs rather than rely on some bloke on the internet, even if said bloke is someone writing for MSE.

enthusiasticsaver · 2 February 2015 at 9:30PM

You can transfer in from another bank but not another Santander account. You can then transfer it out again. The interest is paid monthly and there is a £2 monthly charge and cashback on certain direct debits - Santander mortgage, council tax, water, gas and electric, phone and tv packages.