We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Where to save when mortgage is paid off?
Comments
-
YorkshireBoy wrote: »No they don't. They may have standing orders, but you can't pull money into a current account by direct debit.
Schoolboy error, I of course meant standing orders between all the accounts!0 -
YorkshireBoy wrote: »2% and above.
Damn. and I am flamed! :embarasse
I just started my Santander today! Piece of cake for another 5%
Save 12K in 2020 # 38 £0/£20,0000 -
The regular savers look great but I need an accompanying current account for each one with a qualifying monthly deposit into each I presume?
As for the LISA I like the idea but as I already have a final salary pension (if it survives) and don't know how much cash I'll want to lay my hands on for a house upgrade in due course, so I'm not sure about tying up extra funds until 60!
Well you have to be badass and hardcore to milk the most out of the savings market. My friends are doubtful of my sanity as well when they hear me preach about my 8 banks I bank with. What can I say?
Check out LISA. Hmm I suppose you can't use it for property since it will not be your first buy.
Save 12K in 2020 # 38 £0/£20,0000 -
Well you have to be badass and hardcore to milk the most out of the savings market. My friends are doubtful of my sanity as well when they hear me preach about my 8 banks I bank with. What can I say?
Do you manually move money around every month to meet deposit criteria or have you set up a system of standing orders to move money around between them?0 -
Do you manually move money around every month to meet deposit criteria or have you set up a system of standing orders to move money around between them?
People vary. Personally I have standing orders set up, and then log on to check all is fine and sweep up interest, I find it easier rather than having to set up a specific time each month but others refer manually.
I also log into accounts regularly just to check, in my case it's probably once or twice a week, doesn't take too long as with twelve current accounts it only translates as six log ins due to multiple accounts at some institutions.0 -
Do you manually move money around every month to meet deposit criteria or have you set up a system of standing orders to move money around between them?
Standing Orders. Once you set up the system, it flows by itself. Similarly I do check it at least once a month to make sure everything runs smoothly.
Save 12K in 2020 # 38 £0/£20,0000 -
You do realise that you don't actually receive 5% on the whole amount you save, don't you? It works out at around 2.5% in the end.
Just opened one myself and the guy at the bank said he's always having to explain it as most people still don't realise it.Regular savers are for 12 months. Only the first month's payment is in for the whole 12 months, thus gaining the full 5%. The last payment in is only there for one month, so only gaining one-twelfth of the 5%. So it kind of evens out over the whole period and almost halves.
Every pence that is deposited gets 5%. Be it in the account for 12 months or one month. The length it receives the 5% depends on the length of time its deposited.
Posts like this come us time and time again - I wish schools would educate youngsters more on these fundamentals.
Back to the O.P. - you're in a very lucky position - well done for getting yourselves there.0 -
3 little, but very important in this context, letters would explain the confusion. Those letters are AER.veryintrigued wrote: »Posts like this come us time and time again - I wish schools would educate youngsters more on these fundamentals.
Chesky's post was factually correct (because they didn't add those 3 little letters).
By way of illustration, your assertion that...
...isn't correct. But if you'd added those 3 little letters it would be.veryintrigued wrote:Every pence that is deposited gets 5%.
0 -
YorkshireBoy wrote: »3 little, but very important in this context, letters would explain the confusion. Those letters are AER.
Chesky's post was factually correct (because they didn't add those 3 little letters).
By way of illustration, your assertion that......isn't correct. But if you'd added those 3 little letters it would be.
Your definition of 'factually correct' is very different to mine if you think that a saver is 'actually getting 2.5%' on the amount invested YB.
Thanks for the clarification on the AER - maybe I thought that was a given on these types of annually paid interest accounts. 0 -
It was correct for the point they were trying to make. The same point you are making...just in a different way.veryintrigued wrote: »Your definition of 'factually correct' is very different to mine if you think that a saver is 'actually getting 2.5%' on the amount invested YB.
Always dangerous (and why I try to remember to add the letters when quoting an interest rate to avoid any confusion).Thanks for the clarification on the AER - maybe I thought that was a given. 0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.1K Banking & Borrowing
- 253.6K Reduce Debt & Boost Income
- 454.2K Spending & Discounts
- 245.2K Work, Benefits & Business
- 600.8K Mortgages, Homes & Bills
- 177.5K Life & Family
- 259K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards