Savings loophole

Leedslad8t6

Hello everybody,

I am in need of some advice with regards to the savings loophole where you can transfer money between non internal accounts to meet the minimum needed to be paid in every month.

My question is this...

Can you achieve this by simply doing a manual bank transfer once a month and then on the same day moving the money onto the next account.

Is there a specific period of time that the amount deposited has to rest in your account to be classed as a payment in?

I realise you can use standing orders but I am wanting to open up a few more accounts and would prefer to just sit down once a month and get it all over with in a day than rely on a weeks worth of standing orders.

Many thanks

Daniel

VT82

I'm with you about it feeling better to do it manually once a month. That's what I do anyway. That way you can immediately spot if there has been an issue with having the interest applied in any month on any account.

And no, there is no minimum time it has to be in any of the accounts where you can use the loophole.

Eco_Miser

I do it manually every month, and for one of the accounts, the money goes out, then comes in later.
I find this easier than standing orders (you could do all most of the SOs on the same day if you want), because I can vary the amounts to cover variations in the interest and direct debits.

Leedslad8t6

Thanks for the speedy reply!

I was worried that maybe transferring into one account then straight back to another might flag up as suspicious somehow.

I will be doing this myself then as i can get it all over and done with in a day .


Thank you

Daniel

Eco_Miser

No more suspicious than moving it the next day.
The banks do know what is going on, and I'm sure the relevant department can tell the difference between a funding cycle and money laundering.

LXdaddy

These answers are all in the original thread - you could have found them there or asked this question there.


But as said you can move money in and out on the same day and meet the funding requirements.


I do all of mine with standing orders and generally speaking do the in and out orders on the same day but I have a couple of cases where the money going in and out is larger than the balance on the account (eg my Halifax Rewards has a small balance but has £1500 going in and out) for that I schedule the transfer in on one date and the transfer out a few days later so if weekends or bank holidays delay the deposit I'm not in risk of going into overdraft if the outs are not similarly delayed.


But of course if you do it all manually using faster payments you can see the money arrive before you take it out. But of course you have to do the manual exercise each month - can't afford to miss it because you are too busy with other things.

givememoney

LXdaddy wrote: »

These answers are all in the original thread - you could have found them there or asked this question there.


But as said you can move money in and out on the same day and meet the funding requirements.


I do all of mine with standing orders and generally speaking do the in and out orders on the same day but I have a couple of cases where the money going in and out is larger than the balance on the account (eg my Halifax Rewards has a small balance but has £1500 going in and out) for that I schedule the transfer in on one date and the transfer out a few days later so if weekends or bank holidays delay the deposit I'm not in risk of going into overdraft if the outs are not similarly delayed.


But of course if you do it all manually using faster payments you can see the money arrive before you take it out. But of course you have to do the manual exercise each month - can't afford to miss it because you are too busy with other things.

Can you give me the link to the original thread please

LXdaddy

givememoney wrote: »

Can you give me the link to the original thread please

https://forums.moneysavingexpert.com/discussion/5005862

Leedslad8t6

Apologies if it is a "double thread".

I did have a look before posting but couldn't find anything as specific as I required.

Pressed for time on my lunch break, I needed to find out before I finished work as i'm going to close my ISA on my way home xD.

40 day wait for my monies .



Daniel

Playing_with_Fire_2

You could find it takes a while for funds to clear into the account and be available for transfer back - I have a recollection of Tesco and Halifax taking longer than others (it might just be random though)

xylophone

40 day wait for my monies

If this is Yorkshire Bank, I'd strongly recommend that you check that the transfer out request has been received and ask for confirmation of the date that the transfer will take place.