Cycling payments through current accounts for incentives

ericpode

I have several current accounts such as Santander that offer extra interest or a cash credit provided you fund them with at least 500 or 1000 (etc) pounds each month.

So I move an amount from one account to the next so that they all qualify. I have been cautious about moving money in and then out again on the same day in case the bank will not recognise it as a funding. So I always wait until the following day before I move it to the next bank account. But of course I sometimes forget and leave it in one of the accounts not earning anything until I remember and move it on again. It's getting a bit tiresome.

I'd really like to just move the amount through all of the accounts in a single day - it would probably just take less than an hour to do this and get the whole thing over with in one session each month.

Is anyone else doing this - using faster payments to cycle a payment through all of their account in one day? Do all of the banks count the payment in and out on the same day as qualifying for their incentive interest rate and perks?

teffers

I have 4x TSB accounts I do this with.

I cycle the same day and I've not had a problem.

Can't comment specifically on Satander though epicpode.

Archi_Bald

I have been doing all mine (several dozen transactions in total) for years by SO on the same day. I also do SOs from external accounts even for those banks that allow internal funding (e.g. TSB).

All banks bar Tescos process SOs on working days only, whilst Tesco does them 7 days a week. So very occasionally the transaction into Tesco happens a couple of days after the outgoing SO. It all works without a hitch for me as no outgoing transaction on any account is larger than the account balance.

There is a very long thread somewhere with reports from other people - some do everything manually, some do it all automated, some fund internally where possible, some do a mixture, some do it all on the same day, some have overly complex multi-day daisy chains, some take the interest out monthly, other don't have to or just don't bother.

eskbanker

ericpode wrote: »

Do all of the banks count the payment in and out on the same day as qualifying for their incentive interest rate and perks?

Unless specified otherwise in their Ts & Cs then yes. Bear in mind these are current accounts intended for regular use - if you were using it as your 'main' account and they had a clause saying you had to leave your salary in overnight before you could withdraw any of it you wouldn't be very impressed!

TheTracker

I have about 40 Standing Orders and Direct Debits happen each month to keep my interest generating machine going. About 30 of them happen on the same day. They've never failed in a few years and no bank has not given me interest as a result of doing it on the same day.

Not sure I've ever seen anyone post their rube goldberg machine but FWIW here is mine as it stands this week. It's like a house plant, needs a little pruning and watering but mostly just some TLC.

MarkFromCornwall

TheTracker wrote: »

Not sure I've ever seen anyone post their rube goldberg machine but FWIW here is mine as it stands this week.

Respect !!!

Sea_Shell

Wow...that chart's impressive!!!

How do you do it....is there a template somewhere, or is it part of an excel function or something??

mel48rose

Not sure I've ever seen anyone post their rube goldberg machine but FWIW here is mine as it stands this week. It's like a house plant, needs a little pruning and watering but mostly just some TLC.[/QUOTE]

Gosh thats amazing :rotfl:

gingercordial

TheTracker wrote: »

Not sure I've ever seen anyone post their rube goldberg machine but FWIW here is mine as it stands this week. It's like a house plant, needs a little pruning and watering but mostly just some TLC.

I love the chart! Nice work and I'm tempted to do one of my own just for fun now. Very cool.