Active Direct Debit?

welshmike_2

Thanks to MSE's email I received today referring to "
New. Free £160 cash WITHOUT SWITCHING on TSB's 3% account "
I'm looking at opening that TSB Plus account.

I have a direct debit with another bank that is taken twice a year to pay for a weekly supply of the Radio Times.
By telephone tonight TSB confirmed that that will be considered by TSB to be an active direct debit if I switch it to my planned TSB Plus account.

Also my Council Tax direct debit is taken for 10 months of the year. That was also stated by TSB to be an active direct debit.

Furthermore a direct debit for a credit card account (not necessarily with TSB) even when there was a zero credit balance for a month was also considered to be an active direct debit.

Do people here agree with my understanding and findings please?


Late night calculations

TSB Plus account

Minimum balance for interest £1,500.00
A. at 3.00% is £45.00 per year
B. 2 direct debits is £5.00 per month £60.00 per year
C. 20 uses of TSB debit card is £5.00 per month £60.00 per year

Total £165.00 per year

However C. above is unlikely so Real Total £105.00 per year

binaryuniverse

badger09 wrote: »

What do you mean? Where do you see that?

Could do with clarification also, as that's one of my 4 direct debits I'll be shifting over to Co-op.

mikeyp231987

Add me to the list of those seeking clarification...

Can you switch a paypal direct debit as one of the four active DDs required for the co-op switch bonus?

eskbanker

Personally I understand an active DD to be as defined by grumbler at post #6, but given the dialogue with Ourfamilyxx at post #19, it might make more sense to err on the side of caution and ensure that the PayPal DD has actually been used at least once before switching.

Speaking of erring on the side of caution, it may not be a good time to be switching your 'main' current account to Co-Op given their uncertain future, or at least it would be prudent IMHO to have second usable source of funds elsewhere....

grumbler

eskbanker wrote: »

Speaking of erring on the side of caution, it may not be a good time to be switching your 'main' current account to Co-Op given their uncertain future, or at least it would be prudent IMHO to have second usable source of funds elsewhere....

Vice versa, it can be wise to do while Coop is still here and offering the bonus. Then switch elsewhere for another bonus.

binaryuniverse

mikeyp231987 wrote: »

Add me to the list of those seeking clarification...

Can you switch a paypal direct debit as one of the four active DDs required for the co-op switch bonus?

I will let you know, since I did the switch, with 4 direct debits. Paypal being one of them. If I don't get the incentive I'll be kicking off. It shows as a transferred DD in my Co-Op account.

eskbanker

grumbler wrote: »

Vice versa, it can be wise to do while Coop is still here and offering the bonus. Then switch elsewhere for another bonus.

Yes, agreed that the Co-Op bonus is worth having while there, but just flagging that putting all eggs in one basket would be riskier than usual, so worth either having another basket and/or using a sacrificial donor account, bearing in mind that the receiving bank is on the hook for sorting out any switching issues after the event and then there's the lag time before incentives are paid.

Katiehound

welshmike wrote: »

Also my Council Tax direct debit is taken for 10 months of the year. That was also stated by TSB to be an active direct debit.

just for those banks which want the active DD to be every month. It's easy to pay your Council tax in 12 installments- fact generally hidden on the back of the statement/bill. Our council likes you to inform them before the new tax year starts- but will alter at a later date

beefturnmail

using a paypal direct debit has always worked for me in meeting the active dd requirement, for switching to the coop and numerous other switches. To be sure, I tend to initiate a paypal dd payment from the account switching out just before making the switch but not sure if this is necessary or not.

Westie983

I have used PayPal as a DD for switching, I just made sure one or two payments came out of the account that I was switching from, so it showed in the DD list that was pulled to the new account.

After the switch I still use Paypal and it is redirected from the old account to the new account, but will set up a new bank account in time, but easier this way for the moment.

Westie983