TSB Classic Plus Account

katies_mum

My daughter currently has the Under 19`s Bank account with Lloyds, she is 19 next month and will be starting her first job early November.

She is thinking of switching to the TSB Classic Plus bank account account in the hope she might receive £125 switching offer. Her account with Lloyds has a balance of just over £3,000 and she has paid into this quite often and has used her debit card, however, she does not have any direct debits set up.

We are a little confused as the TSB £125 switching offer says `you must register at least 2 active direct debits`. Does this mean the direct debits needed to have been active on her existing account, or does it mean new direct debits to be set up on the TSB account? sorry, we are just not understanding this bit!! She doesn`t want to apply and then find she hasn`t been accepted as she has misunderstood what is needed.

Any advice would be very much appreciated. Many thanks

Futuristic

Terms have changed, you need 3 direct debits now. From the terms:

• Credit at least £500 to your new TSB account within 30 days of the switch completing and register a minimum of 3 active Direct Debits.

Since she's young may struggle with 3 DDs, it might be better for her to switch to FirstDirect where there's no real requirements and she could open a TSB account for the interest as normal without switcl. Don't forget to open a £1 e-saver account as well which means no fees and you get the bonus £125.

FD also has a savings account which is locked for 12 months where she can put in £25-£300/mo and has 6% interest

YorkshireBoy

Futuristic wrote: »

Terms have changed, you need 3 direct debits now. From the terms:

• Credit at least £500 to your new TSB account within 30 days of the switch completing and register a minimum of 3 active Direct Debits.

Not sure where you pulled those old copy T&Cs from, but these are the current ones...

http://www.tsb.co.uk/legal/special-offer-mse-msm-terms-and-conditions-october.pdf

You'll note they're back to 2 DDs now.


OP, taking the T&Cs quite literally it doesn't matter whether the DDs are set up before or after. However, I'd suggest switching them would be the surest way of guaranteeing no issues.

katies_mum

Thank you for replying, hadn`t noticed the 3 direct debits. Unfortunately she won`t earn enough for the FirstDirect account I thought you needed to pay in £1000 a month, or do you mean a different account? She hasn`t loooked at FirstDirect as thought it was out of her league.

Who is the £1 e-saver account with that pays the bonus £125?

Thanks again

katies_mum

Thank you YorkshireBoy, 2 direct debits is what I had seen but appreciate things change so quickly.

I was thinking of direct debits for her with maybe Tesco internet saver as many of you mention. Whilst she could hopefully get them set up, if a payment hadn`t been made would they still be classed as active? This is all new to us (I have 123 account and seems so straight forward) would have suggested one of these to my daughter if the charge wasn`t going up to £5 a month.

YorkshireBoy

katies_mum wrote: »

I was thinking of direct debits for her with maybe Tesco internet saver

She'll need two accounts, for two separate mandates.

Whilst she could hopefully get them set up, if a payment hadn`t been made would they still be classed as active?

Yes, but your question is irrelevant really, since whilst the TSB account has to be opened by the 2nd November, the switch itself has until 23rd November to complete...and that's over a month from now! So any DDs will have collected from her existing account before they're switched.

katies_mum

Thank you, you make it sound so easy. As we have never switched a bank account before I didn`t actually realise the transaction wasn`t completed on the day you open the account. When a bank says active direct debits do they check the amount of the DD and what would be classed as a minimum but acceptable amount?

Your reply is really appreciated, thank you

YorkshireBoy

katies_mum wrote: »

Thank you, you make it sound so easy.

That's because it is, when you get into it.

When a bank says active direct debits do they check the amount of the DD ?

No.

and what would be classed as a minimum but acceptable amount

With Tesco I wouldn't make them ridiculously low, ie 50p or £1. With her TSB account she'll have around £6.50 a month interest (as a BR tax payer. If she doesn't pay tax it'll be around £8), so I'd set the DDs up to pull, say, £4 to one and £2.50 to the other Tesco account...on interest payment day, say on or around the 3rd of the month.

katies_mum

Great thank you. Is a £1 DD too cheeky or should she make them at least £5?

YorkshireBoy

katies_mum wrote: »

Great thank you. Is a £1 DD too cheeky or should she make them at least £5?

See my edit, made while you were posting.

katies_mum

Thank you, sounds good suggestion.

Fingers crossed the new account will go through, £125 would be a nice little extra for her.