advice re standing order timing

castle96

Hi,
when 'rolling' money around to fund various a/c requirements, I have always allowed 4 days between £out > £in (then one day £back in to original interest earning a/c), so as to make sure that I do not go overdrawn due to a weekend/bank holiday.
Am I right in assuming that transactions do not take place on a weekend, etc ? Or is it safe to transfer out one day and back the next.
Do not want to do all these manually, but by s/order
Just concerned re the loss of interest.

thanks

Archi_Bald

Another one that's been answered oodles of times.......but here we go, whilst I drink my cup of tea:

Where my account has a balance higher than the outgoing SO, I do the SOs in and out on the same day. Most banks have the same rules for SOs at weekends/holidays - I seem to remember it's only Tesco who do SOs every day of the week. Also, for internal SOs (e.g. TSB to TSB) doing it on the same day is obviously the logical thing to do.

I will at most lose a few pence worth of interest should the banks get out of synch, and I would notice this within 24 hours as I am checking my account balances daily.

Where my account could go into an unauthorised overdraft if the incoming SO doesn't happen on the expected day, I either make the outgoing payment manually or leave 4 calendar days before making an outgoing SO. This may mean that I might lose a few pence of interest on a small amount of money for a few days - nothing to lose sleep over IMO.

Dobbibill

castle96 wrote: »

Am I right in assuming that transactions do not take place on a weekend, etc ? Or is it safe to transfer out one day and back the next.
Do not want to do all these manually, but by s/order
Just concerned re the loss of interest.

thanks

You are correct S/O's do not take place on a weekend with the majority of banks.

Re loss of interest, see Archi Bald's post above.

Good luck

datlex

I am assuming if you are worried about loss of interest that at least one of your accounts you are transferring money from has money in it.

You don't have to have just one on going standing order for each move between banks. You can set up a series to account for bank holidays and weekends. You also can move the same money around. For example a £1000 credit requirement is £250 a week in February (4 weeks) if you can move that around your accounts every week you will meet the requirements of the accounts.

If you are worried about going over drawn then don't set up the first standing order from that account. Just let the rest of your accounts manage themselves. If you have three accounts for example set up one every tuesday, one every wednesday and one every thursday, (most weeks those dates will be fine with possible exception of christmas and new year depending day of week those fall on.