Consequences of account switching

sjoh0961

Hi All.

Just wondering if anyone has any thoughts on the consequences of switching accounts regularly, e.g. on mortgage applications.

They ask 'how long have you had your main bank account'. Obviously, for regular switchers, this won't be long. Do they actually care about that? I know my Mum always said it was good to have a bank account for a long time but I think that was in the days of customers and bank managers having a relationship?

Don't want to mess up future (18 months) remortgage for the sake of £100...

Any thoughts appreciated.

grumbler

sjoh0961 wrote: »

Just wondering if anyone has any thoughts on the consequences of switching accounts regularly, e.g. on mortgage applications.

They ask 'how long have you had your main bank account'. Obviously, for regular switchers, this won't be long.

Most people don't switch the real 'main' account.
They have (or create if needed) other accounts for switching.

eskbanker

Yes, as with many things in life, mum knows best - it's good to keep a main account going for continuity purposes, so use separate donor accounts for switching....

sjoh0961

OK, thanks both. So you end up with different direct debits going out of different accounts. Could get a bit complicated?

Anyway, thanks again..

Dird

sjoh0961 wrote: »

OK, thanks both. So you end up with different direct debits going out of different accounts. Could get a bit complicated?

You set up a few Tesco iSavers then pull them all into there as pretend DDs. Then the same amount is pulled each month, just need to remember to leave enough money for the next month

Herbalus

Depends which accounts you're switching into, and how complicated you want to make it.

You could have a donor account with gym membership and spare credit card (on which you spend £5 a month), and set up a standing order to pay in the fixed amount three days before the money is due to go out (as standing orders don't work weekends). Then depending on how many switching bonuses you want, it might take you a year to get through all the offers

TheTracker

sjoh0961 wrote: »

OK, thanks both. So you end up with different direct debits going out of different accounts. Could get a bit complicated?

Anyway, thanks again..

Not complicated at all, although the bank's want you to think it is.

Eg I have Council Tax (£160) and Broadband (£30) coming out of a Santander account, and have a Standing Order of £188 transfer from my main account to Santander. Took a few mins to setup and gets me 3% on Santander balance and a couple of quid cashback. No maintenance required. Rinse and repeat for 3 or 4 other accounts. Scribble it on a piece of paper or excel for sanity.

badger09

TheTracker wrote: »

Not complicated at all, although the bank's want you to think it is.

Eg I have Council Tax (£160) and Broadband (£30) coming out of a Santander account, and have a Standing Order of £188 transfer from my main account to Santander. Took a few mins to setup and gets me 3% on Santander balance and a couple of quid cashback. No maintenance required. Rinse and repeat for 3 or 4 other accounts. Scribble it on a piece of paper or excel for sanity.

But presumably you also pay in at least another £312 per month :cool: