ISA 2015 allowance

DreamerFTB

yes I am doing that thank you

bowlhead99

So stick the £300 in your HSBC Advance ISA for the free money and then stick the other £15k+ in this: http://www.santander.co.uk/uk/current-accounts/123-current-account

DreamerFTB

Thanks for the tip! Do you know if I'll be credit checked if I open it? (planning to apply for a mortgage this summer)

bowlhead99

Probably. If they don't like your credit they won't give you a big overdraft. Getting credit checked for a bank account is not something that a mortgage lender is going to care about really.

DreamerFTB

I thought that credit check are generic?

Anyway I don't think I can apply given that I don't have 2 direct debit to transfer I am renting atm and LL is paying bills.

Archi_Bald

DDs are easy to get. Set up a couple of Tesco savings accounts and pull in £1 a month into each. This will be processed as DDs.

DreamerFTB

ok! but it starts to be a bit to much work (and credit checks) for just a (given my maths is correct) ~0.65% net interest more of my 1.5% current ISA. On 15k is a hundred pounds per year difference. Have to think about it.

Archi_Bald

DreamerFTB wrote: »

ok! but it starts to be a bit to much work (and credit checks) for just a (given my maths is correct) ~0.65% net interest more of my 1.5% current ISA. On 15k is a hundred pounds per year difference. Have to think about it.

It's not much more than an hour's work, if that much, in total. When did you last earn £100 net for an hour's work?

DreamerFTB

if I open 2 Tesco saving account I guess I'll get 2 more credit checks? Will I need to remember to pull £1 every month or it can be automated? also I need to remember to transfer £500 per month in the 123 account (it's another requirement). Is the process to open a Tesco saving account really that quick?

Don't mean to push this idea down, just trying to evaluate all pros and cons. And thanks for your help!

bowlhead99

The £500 in and out of Santander every month isn't something you need to remember to do, you can just set up a standing order from your HSBC account to send Santander £500 on some set day each month, and also then have a standing order for Santander to send you £500 back the other way the day before or after or same day or whatever.

There are all kind of ways to get direct debits. Have Tesco pull a pound out of your santander account into the savings account. Get a charity to pull a couple of pounds to help run their Childline or feed a starving village. Order a pizza and pay with Paypal. And maybe you have other costs your landlord doesn't cover for you: Pay your car tax or TV licence or mobile phone bill. There are some threads here with direct debit ideas if you do a search.