Opening a bank account 2016

I___I

Hello,

I wan't to open up a second bank account (I could open a third if it's even better) and was wondering who is best to go with. I don't understand bonds, isa, aer, credit union and all that stuff so it means nothing to me.

- Primarily for either saving or occasional larger purchases (over £10).
- Could put up to £1500 into it when opening.
- It will never go overdrawn.
- I have no mortgage, car, insurance etc.
- I can't guarantee a monthly income, it varies.
- I've never been in debt or used an overdraft in 10 years of having my original account.

Two other quick questions.

- Will it cost money to transfer money into my new account from my existing one ?
- Should I ask for a credit card to build a rating for later on in life ?

Thank you to anyone who takes the time to have a read through all this nonsense :beer:

jimjames

TSB current account sounds ideal for you. 5% interest on up to £2000. Don't worry about cash ISAs, they pay far less than current accounts.

I___I

That looks really good.

So if I opened an account with them and left 1000 in it, after 6 months I would have 1025 right ? Because it says it pays the interest monthly ?

Although I think I have to pay in £500 a month to qualify ? Which I don't have.

ceredigion

You do have £500 per month. Think about it. You have £1500 to start with.

badger09

I___I wrote: »

Hello,

I wan't to open up a second bank account (I could open a third if it's even better) and was wondering who is best to go with. I don't understand bonds, isa, aer, credit union and all that stuff so it means nothing to me.

- Primarily for either saving or occasional larger purchases (over £10).
- Could put up to £1500 into it when opening.
- It will never go overdrawn.
- I have no mortgage, car, insurance etc.
- I can't guarantee a monthly income, it varies.
- I've never been in debt or used an overdraft in 10 years of having my original account.

Two other quick questions.

- Will it cost money to transfer money into my new account from my existing one ?
- Should I ask for a credit card to build a rating for later on in life ?

Thank you to anyone who takes the time to have a read through all this nonsense :beer:

In addition to what jimjames & ceredigion have said:

No - it won't cost you to transfer money into your new account from your existing one.

It also won't cost you to transfer say £500 out, then in again each month

I would probably get my new current (for savings) account up and running first, then apply for a credit card.

I___I

ah yeah, so many loopholes with this kind of stuff xD It seems like you have to be 'unethical' to get anything out of banking from my (very) limited understanding.

Feels like a lot of jumping though hoops for a couple of ££ though. It seems like it contradicts itself, because it caps at 2000 but they want 500 p/m.

At this point wouldn't it be better to make use of the opening new account bonuses ? Seen as how my savings are so small the interest doesn't seem to do much ?

enthusiasticsaver

A TSB account would offer you the best interest rate and you can transfer £500 to and from each month from your existing account. If you can open another account you could even switch your existing account to TSB as I think they are doing a switching bonus of £100 at the moment but you will then also need another account to do the monthly transfer so you will have two once your original account is switched.


I would not apply for a credit card if you do not have a guaranteed monthly income. You do not want to risk a declined application on your credit file as this will affect further applications.

I___I

cheers mate

badger09

I___I wrote: »

ah yeah, so many loopholes with this kind of stuff xD It seems like you have to be 'unethical' to get anything out of banking from my (very) limited understanding.

Feels like a lot of jumping though hoops for a couple of ££ though. It seems like it contradicts itself, because it caps at 2000 but they want 500 p/m.

At this point wouldn't it be better to make use of the opening new account bonuses ? Seen as how my savings are so small the interest doesn't seem to do much ?

It is not unethical if you are complying with the bank's T&Cs

It takes a few minutes to set up and you can automate the transfer process, so not much 'jumping through hoops':cool:

The TSB account also gives you access to their Monthly Saver, in which you can save up to £250 per month - also @ 5%:)

You could try to make use of 'new account bonuses'. These will require you to switch a current account, and may also have other requirements.

If you are young, with no credit history and no guaranteed income though, you may struggle to open several accounts in short succession.

Your decision:)

vanda

Had e mail from acorn, advising current account available with no credit cheques. Anyone any experience. If I have posted in wrong place apologies

badger09

vanda wrote: »

Had e mail from acorn, advising current account available with no credit cheques. Anyone any experience. If I have posted in wrong place apologies

Probably better to start your own thread;)