TSB Classic Plus Question

FreedomChaser

I have £1000 sat in an ISA earning 1.39% interest. I was wondering about opening the TSB account to get 5% interest but have a few questions, it would probably take me 2 to 3 months to get the balance up to £2k, assuming the interest is added monthly, what happens if the interest added takes it over the two thousand, would I then lose all future interest? Do I need to keep the balance at £1900 or thereabouts for wiggle room?
Sorry if its a dumb question....

EarthBoy

You can have as much money in the account as you like, but TSB will only pay interest on the first £2000. They simply ignore the rest.

jimjames

For £1000 using a tsb and Halifax will get your more interest than any other accounts.

Between the 2 it would be £125 per year which equates to 12.5% before tax. All you need to do is switch £750 between the 2 accounts each month.

colsten

Once you have a lot more than £2,00, you can put the excess into another current account, such as the 3% Tesco. Alternatively, Regular Savers at M&S/FD/HSBC might suit.