Santander 123 - Too much hassle or not that bad really?

jabbahut40

Hi,


I am looking for a place to hold some savings (£20K) and was thinking of opening a Santander 123 current account. I'm not keen on moving two DDs and am concerned this may be too much hassle (particularly if the Santander changes there fees again causing me to move again). I'd be interested in hearing how others have people found setting up a 123 account and moving their DDs? Did you have hassle or was it pretty easy? Any thoughts or experiences would be welcomed.


Thanks,


JabbaHut

AnotherJoe

We have three accounts, one each and one joint. It was very easy moving DDs, it isn't usually an issue anyway you just contact the Company who use the DD and give them the new details (you don't have to switch current accounts to open a 123).
Alternatively start some new ones. perhaps a DD to a charity or two. Doesn't need to be a big sum. i moved my council tax and water rates and telephone to get the cash back. I contacted the organisations just after a payment had been made from the old acc to give them plenty of time.

colsten

If I had a total of £20K, I wouldn't use a 123 at all. Instead I would spread my money across accounts that pay more interest and/or do not charge a whopping £5 a month / £60 a year. Setting up any required DDs is easy, as is meeting any minimum monthly deposits.

https://forums.moneysavingexpert.com/discussion/5374614

LXdaddy

It is not hard at all to set up a Santander 123 account. If you have any existing DDs for household bills then moving them across to the 123 account will give you cash back that probably more than covers the monthly fee.

Yes you can get more interest (5%, 4%, 3%) without paying a monthly fee. But if you want simplicity for 20K then Santander is the easiest.

I started using this "interest paying current account" game with a single account at Santander a few years back now. But now have money in just about all the other banks too - maxing out TSB, Lloyds, Tesco (not got to BOS yet) and using the monthly savers paying 6%, 5%, 4% at FD, M&S, Nationwide, Santander, TSB and Lloyds) It does take time to set up but not much effort to keep it running.

Until such time as when "savings" accounts start paying more than "current" accounts I'll probably continue playing this game.

savingpennies

I've had one since they first appeared on the market. I transferred all the DD for utilities/phone etc to claim the cashback, which more than covers the monthly fee, so my cash is sitting there earning the 3%. It wasn't too much hassle, and was worth it for the interest I get back. OH and I have between us also maxed out the 5% and 4% accounts out there.

tempus_fugit

We have two Santander accounts and they were easy to set up. Many of the direct debits can be moved simply by entering the details on the payee's website, and others you may need to phone. But there were no issues payments and the companies seem to be well aware that people are changing banks and it's generally not a problem to move them.

Ken68

Opened a Santander Everyday account recently (for future switch) and followed by the 123 account. Will fill it from Premium Bonds.
Am maxed up otherwise. DD's are easy from Tesco Internet Saver/?and the other one... lol. Also Paypal.

jabbahut40

Thanks for all the responses. I'll apply for a 123 account today as it doesn't sound too difficult to setup.


JabbaHut

enthusiasticsaver

We had no problem setting up a Santander 123 and all our household bills are paid through it to get the cashback to offset the fee. The fee is £5 and we get around £8-£9 cashback monthly. It is no hassle at all to move direct debits. Sometimes you can alter them online or just phone up and do it or email companies.


You can get 5% from Nationwide and TSB and 4% from Lloyds but as others have said the maximum for getting interest on those is much less than the £20k you can put into Santander. I am still happy with it although we did have 2 Santanders before they increased the fee and I moved 1 of them into LLoyds, Bank of Scotland and Tesco current accounts instead.

bigfreddiel

Basically three accounts equates to £135/month income plus any cash back

The work involved equates to working for about £75/hour.

Now if you earn more than that then don't bother.

If you can afford to chuck £135+ in the bin each month then don't bother.

Cheers fj

anoncol

jabbahut40 wrote: »

Thanks for all the responses. I'll apply for a 123 account today as it doesn't sound too difficult to setup.


JabbaHut

Its going to cost to have the account you know right?