how to

brandydog

have opened santander123 c/a
1 add 20.000
2 set standing order for 500 from hbos say on 6th of month
3 santander 500 d/d back to hbos on the 7th

is this the correct way to do this
thanks in advance

polymaff

brandydog wrote: »

have opened santander123 c/a
1 add 20.000
2 set standing order for 500 from hbos say on 6th of month
3 santander 500 d/d back to hbos on the 7th

is this the correct way to do this
thanks in advance

requires TWO Direct Debits (note: NOT Standing Orders).

So what have you actually done in your step 3?

Also, I hope that those dates you mention are well away from the day of the month that you opened the account on.

brandydog

should step 2 be d/d from hbos for 500 to santander

step 3 d/d from santander 500 back to hbos and 10 d/d into lotto


getting baffled here

ColdIron

You need to
1) Pay in £500 per month, this can be done with a standing order from Santander to HBOS and another standing order from HBOS to Santander
You also need to
2) Setup 2 direct debits. You can't do that between Santander and HBOS

polymaff

brandydog wrote: »

should step 2 be d/d from hbos for 500 to santander

step 3 d/d from santander 500 back to hbos and 10 d/d into lotto


getting baffled here

Me, too! How have you set up a Direct Debit to HBOS?

And what about those dates?

brandydog

have only opened santander 123 have not put any money in yet or set up dd or standing orders

polymaff

brandydog wrote: »

have only opened santander 123 have not put any money in yet or set up dd or standing orders

That makes a bit more sense. I read it that you'd already carried out your three steps. So how to you plan to meet the requirement for two Direct Debits to be set up? One for the lotto - what about DD number 2?

PeacefulWaters

You need to understand what a direct debit is.

xylophone

With Santander, bear in mind your account month and set your credit of £500 for the mid month. You can set a STANDING ORDER to send it back to HBOS or you can do this manually if you prefer.

The account needs two DIRECT DEBITS. Is the money for Lotto taken by direct debit? If so, that is one.

You need one more - a charity perhaps or if you set up an Internet Saver with Tesco, you can set up a Direct Debit to pull money from Santander to Tesco.

Had you appreciated that some DDs give you cashback which helps cover the £5 monthly fee? Electricity, gas, water, council tax, telephone etc- see the website for details.

LXdaddy

A standing order is an instruction to PUSH money from one of your accounts to somewhere else
A direct debit is an authority for some institution to PULL money from one of your accounts

You can set up standing orders on any current account to PUSH money to other bank accounts that you have or to some companies. But these do not satisfy the conditions for direct debits.

Generally speaking you have to use other organisations to have money PULLED out of your accounts using Direct Debits. eg Utility companies use that to pull your payment for you gas or electric bill, communications companies can pull money to pay your phone or TV bill. The National Lottery can also use a direct debit authority. Charities can too. Santander give cash back on certain types of organisation that you pay through the DD mechanism. Most of us manage to get the £5 monthly fee more than covered by that mechanism.

There are additionally a couple of bank accounts that you can set up which (unusually) allow you to use the direct debit mechanism to PULL money other accounts that you link to. The post office used to do that (and probably still does) but is so difficult to deal with that I would not recommend it (and it only permitted you to have a single account linked in this way). There are plenty of posts on this board about how to meet the DD requirements.

Dan83

If you don't mind setting up multiple accounts, there is better places to put £20k that pay 3% or more with out £5 per month fee.