Maximum deposit/savings limit on Lloyds cash account??

Widelats

I plan to save up, and i am wondering what Lloyds has as the maximum limit that i can hold in a cash savings account? Before they go telling the Government that is, and what is the maximum amount of deposit i could make with them every 2 weeks or every month before they start complaining that i am saving too much?

Any ideas? I just don't want them to think i am running a business when i am not, or saving for someone else when i am not, or telling the Government how much cash i have saved, etc tec, i just want to know the max figures so i can keep it ok with everything.

Archi_Bald

All interest on any type of account bar ISAs gets automatically taxed at source. Current rate is 20%.

You can hold up to a million or two in each of umpteen savings accounts if this is what you want to do. Only £85K across Lloyds (and others who might share the same banking licence) will be FSCS protected.

Under the European Savings Regulation, banks will periodically share information about all taxable accounts with HMRC. They will also provide HMRC with ISA data once a year. Banks will also share account data with the DWP on request.

BTW, the vast majority of cash savings accounts are terrible places to hold any money in.

Widelats

Archi_Bald wrote: »

All interest on any type of account bar ISAs gets automatically taxed at source. Current rate is 20%.

You can hold up to a million or two in each of umpteen savings accounts if this is what you want to do. Only £85K across Lloyds (and others who might share the same banking licence) will be FSCS protected.

Under the European Savings Regulation, banks will periodically share information about all taxable accounts with HMRC. They will also provide HMRC with ISA data once a year. Banks will also share account data with the DWP on request.

BTW, the vast majority of cash savings accounts are terrible places to hold any money in.

Thanks Archi, maybe i should just keep the cash in person instead then, that would be much better for me all round. Then there is no problems.

Bloody awful state of affairs when the people you want to save with will share your data. since when does my hooby become taxable at 20% - i will keep the cash myself and forget these banks. Thanks i had no idea they would share my info so much.

AndyT678

Widelats wrote: »

since when does my hooby become taxable at 20%

If your hooby involves buying and selling things for profit that's when it becomes taxable.

Stevie_Palimo

Bloody tax dodgers do my brain in, Pay up like the rest of us honest people and stop trying to swerve your duty as fully grown adult.

bowlhead99

Widelats wrote: »

Thanks Archi, maybe i should just keep the cash in person instead then, that would be much better for me all round. Then there is no problems.

Bloody awful state of affairs when the people you want to save with will share your data. since when does my hooby become taxable at 20% - i will keep the cash myself and forget these banks. Thanks i had no idea they would share my info so much.

The type of data that banks will share routinely with tax authorities includes, as Archi says, the amounts of interest earned on what people have deposited.

It does NOT include, as a matter of course, information about the patterns of deposits made into the account. HMRC don't have the authority or the systems capacity to collect full annual downloads of everybody's accounts "just in case" they show a pattern of income receipts or business activity which you "accidentally" underdeclared to the tax office or the benefits people or whatever.

Of course, if you happen to come under investigation for tax evasion (for example after HMRC have been tipped off by a customer, business rival, website moderator etc), then all bets are off and the authorities can certainly obtain all the bank statement activity that they would like.

If you're concerned that the bank account statements would show a pattern of business income or trading receipts which are taxable, and you want to conceal the nature of the transactions to evade the taxes, you may want to look at structuring your bank accounts and deposits differently; perhaps make some short term investments or trips to the casino or bookies so that the "trail" is effectively obscured.

This process of concealing the proceeds of crime (the crime being tax evasion) is known in common parlance as "money laundering".

If you want to make much money out of your hobby but not be forced to immediately spend the profits - or don't want to keep the resulting cash in your house or on your person where it's subject to the risk of loss, theft, fire, the ravages of inflation, etc - you'll have to get quite good at money laundering.

You could probably Google to find common money laundering techniques suitable for small amounts of money, or read some crime novels or watch some movies to see how different people attempt to get away with it.

Am alternative would be to simply pay the taxes that you owe on your business or trading profits or casual income. This is known as "going legit". Then you wouldn't need to worry about a bank, internet sales platform, disaffected customer, disgruntled business rival etc, dobbing you in and resulting in an unwelcome tap on the shoulder from HMRC or the law chasing taxes and various fines thereon.

badger09

@bowlhead99

Welcome back. Hope you enjoyed your mini break:p

bowlhead99

Haha I'll allow myself one post per calendar month, with the exception of incidental posts like this one which add nothing to the thread

So, see you in July!

colsten

bowlhead99 wrote: »

Haha I'll allow myself one post per calendar month

June quota exceeded by 100% in one single thread. You failed yourself there.

badger09

bowlhead99 wrote: »

Haha I'll allow myself one post per calendar month, with the exception of incidental posts like this one which add nothing to the thread

So, see you in July!

:wave::wave::wave:

colsten wrote: »

June quota exceeded by 100% in one single thread. You failed yourself there.

:rotfl: