Too many bank accounts

Eric999

Hello all, I'm trying to get a grip on my finances and after opening another account last week I now have the following:

Barclays generic current account
Halifax Help to Buy ISA
Santander 123 current account
TSB Classic Plus (x 2)

I also have a Nationwide current account that never got off the ground due to an error with the log in stuff they never sorted properly so I'll be closing that next week if I can.

Currently my salary is paid into the Barclays account which I've had for years but as far as I can tell offers me no benefit, which is why I opened the Santander.

I have about 10k in savings, which isn't loads I know but I'm beginning to make progress towards a deposit for my first mortgage.

My question is which do I close? From what I can tell, the Santander account is the best to have everything, including savings and salary as that offers the best rate.

However, that wouldn't entitle me to any potential help from the government on any help to buy scheme I might qualify for, plus I'm concerned that having all my money in one pot is unhealthy and much more tempting to dip into it.

Is it a good idea to have this many accounts? Which should I close? I'm almost definitely closing the Barclays and switching most stuff to Santander but what about the savings accounts?

Appreciate any help as it's a bit boggling, definitely not opening any more until I've closed at least 2.

Thanks

diamonds

Halifax Reward, £5 a month, £750 in, 2 DD out.

Nationwide, use for transfer to another with incentive for joining, same as Barclays if no benefit.


No issue with savings accounts, they dont show on credit file re: mortgage credit check. Showing 4 well run current accounts is a bonus - some people cant run one well.


Metro account good for Europe.

Club Lloyds if salary is higher than £1500 (i think it is), BOS Vantage - interest may pay better than Santander beside your TSB's.

Dobbibill

Food for thought for you......

Santander is good to have not just savings in, but also you DDs for any bills as you will get cashback from them, this along with the interest should outweigh the monthly fee.

Halifax HTB ISA is 4% and will get you the bonus when it's time to buy a house/get a mortgage. The only downside, it can only be funded with £200 a month.

TSB plus accounts give you 5% on balances up to £2000 each so worth keeping.

I don't believe Barclays is giving you any cashback or rewards so why not think about using Santander for bills and savings, paying everything from here each month as X amount from your salary is transferred and let it take care of itself.
Fill your TSB accounts up and just use them as savings, skimming off any interest each month and dropping it in your S123 acc.

Keep your Barclays account as a spending account, so essentially that will be the only card/account you are using on a daily basis.

Eric999

Dobbibill wrote: »

Food for thought for you......

Santander is good to have not just savings in, but also you DDs for any bills as you will get cashback from them, this along with the interest should outweigh the monthly fee.

Halifax HTB ISA is 4% and will get you the bonus when it's time to buy a house/get a mortgage. The only downside, it can only be funded with £200 a month.

TSB plus accounts give you 5% on balances up to £2000 each so worth keeping.

I don't believe Barclays is giving you any cashback or rewards so why not think about using Santander for bills and savings, paying everything from here each month as X amount from your salary is transferred and let it take care of itself.
Fill your TSB accounts up and just use them as savings, skimming off any interest each month and dropping it in your S123 acc.

Keep your Barclays account as a spending account, so essentially that will be the only card/account you are using on a daily basis.

Yeah this is what I'm thinking of doing. Might keep my salary in my Barclays but immediately SO like 60% of it into the Santander.

My only concern with this is whether it's a good idea to have your monthly bills coming out of your savings?

Thanks for your help

Eric999

Also, I'm planning on going into a Santander branch to set up the switching, can I do that and request to keep the Barclays account open with my salary coming in or would I have to do it manually?

Dobbibill

As long as you are transferring both bills money and savings into it, then all it's doing is earning you interest before, during and after bills, topped up with cashback each month. Check T&Cs but I believe it's £500pcm funding requirement for Santander.

Santander may be able to do a partial switch if you want to keep you Barclays account open, but I would just do it manually. A partial switch doesn't come with the guarantees a full switch does, not worth the hassle IMHO.

colsten

diamonds wrote: »

Club Lloyds if salary is higher than £1500 (i think it is)

There is no need for any salary to be paid into Lloyds (or any other bank for that matter). The fee for the Club Lloyds will be waived if you pay in £1,500 a month. The money can come from anywhere, even another Lloyds account in your own name.

diamonds

colsten wrote: »

There is no need for any salary to be paid into Lloyds (or any other bank for that matter). The fee for the Club Lloyds will be waived if you pay in £1,500 a month. The money can come from anywhere, even another Lloyds account in your own name.

Yes I said that, £1500. Given OP states closing Barclays where their salary currently goes I gave CL as a alternative with the other accoūnts above

Flobberchops

If you pay £800+ into your Barclays current account and have at least two Direct Debits going out monthly, you qualify for their Blue Reward cashback which for most is a net £4 a month.

Doctor_Duke

The other thing to consider is not to rush into closing your Barclays account. You say you have had this account for a while. Future lenders will always ask you how long have you had your current account. Generally speaking the longer the better will help your score when they come to credit score you internally for an application. One thing just to bare in mind.