Choosing a new bank for someone who gets paid with no tax?

Archi_Bald

Fryy wrote: »

In theory could you not open say 5 different current accounts at different banks with the various % interest rates up to roughly £2000, and meet the "deposit £500 per month into the current account" criteria just by transferring money between them?

In theory, yes you could. In practice, many people are doing precisely that. Limits on which interest is paid vary from account to account, as do interest rates and terms and conditions. You need to read the T&Cs.

Fryy

Archi_Bald wrote: »

In theory, yes you could. In practice, many people are doing precisely that. Limits on which interest is paid vary from account to account, as do interest rates and terms and conditions. You need to read the T&Cs.

I see. Many thanks for your help.

bsms1147

Fryy wrote: »

Okay so my plan is this:

Apply for a TSB plus account.

IF it is open by 2nd Nov I am eligible for the +£125 bonus and that's great.

For most people it will take about ten minutes to open.

Fryy

bsms1147 wrote: »

For most people it will take about ten minutes to open.

It takes ten minutes to apply but I'm not sure that equates to open.

DragonQ

Wow, a £23k/year stipend? I got about £16k and that was significantly more than all other PhD students in my department.

SurfKing

DragonQ wrote: »

Wow, a £23k/year stipend? I got about £16k and that was significantly more than all other PhD students in my department.

Current PhD student here, I'm on a £14k/year stipend :-(

I still live at home and have few outgoings, so I still have a fair amount left over at the end of the month. I'm currently filling up two TSB Plus accounts, and then I'll move on to filling up my old Bank of Scotland Vantage account. I've also got £100/month going into a stocks and shares ISA.

EDIT: Just realised Bank of Scotland require £3000 in the account before the interest starts. I guess I'll fill up my Santander 123 Postgraduate account instead (paying 3%).

Archi_Bald

SurfKing wrote: »

EDIT: Just realised Bank of Scotland require £3000 in the account before the interest starts. I guess I'll fill up my Santander 123 Postgraduate account instead (paying 3%).

You could go for Tescos instead - - 3% AER on £1 - £3,000, and you can have 2 of them. That's assuming you have already done the Nationwide FlexDirect in the last 12 months.

[Deleted User]

Another tack on this: how much will the best paying account make you over a year? (Remember it won't be on the whole £23k as you'll be gradually spending it).

Now, consider these points: is it worth it to switch (and change your sort code and account number) every year? And is branch service important to you - if so, which banks are conveniently nearby?

Eco_Miser

billbennett wrote: »

Now, consider these points: is it worth it to switch (and change your sort code and account number) every year?

The only account whose benefit only lasts a year is the Nationwide.
TSB specifically states they won't drop the rate after a year.

bsms1147

Fryy wrote: »

It takes ten minutes to apply but I'm not sure that equates to open.

I had online access to my newly opened accounts immediately after applying.