£100 a month to save

headintheclouds43

Hi all,
Not sure which category to post this into but hoping for some helpful hints.
I currently have about £6000 sat in a Nat west regular saver account, and was wondering if this is the beast place for it.
Also I am hoping to be able to get about £100 a month to "save"
I have a work pension, I pay 3% and my employer matches it. I have a 22 year £121000 mortgage. No isa's or anything.
I know it's not a lot every month by I want to try and make the best of it.
Oh and I am 44 years old.
Thanks in advance

xylophone

I currently have about £6000 sat in a Nat west regular saver account, and was wondering if this is the beast place for it.

A beastly place if you want a reasonable rate of interest!

How about opening a Nationwide Flexdirect (opens the Flex regular saver to you), and a couple of Tesco current accounts?

£2500 into NW to start and remember to move in/out £1000 a month from one of the Tesco accounts (£1750 in each).


Move the interest accruing on Flexdirect current account into the regular saver together with anything else you wish to save up to £500 a month.


After a year, you can transfer the cash in the Flexdirect to Tesco.

headintheclouds43

Thanks for the reply. I take it I just set up direct debits to bounce the £1000 backwards and forwards.
Will opening three accounts affect my credit rating?

YorkshireBoy

headintheclouds43 wrote: »

Thanks for the reply. I take it I just set up direct debits standing orders, immediate FPs, or future dated FPs to bounce the £1000 backwards and forwards.

Correction above.

Will opening three accounts affect my credit rating?

1,650 (that's not the answer to your question...it's the number of pounds I've made since wishing I'd a pound for every time that question has been asked on here).

But seriously, if you're going for a mortgage/re-mortgage early in the new year, hold fire...otherwise no problem.

xylophone

direct debits

You mean standing orders?

Be careful.http://www.telegraph.co.uk/finance/personalfinance/bank-accounts/11577641/My-scheme-to-earn-extra-interest-on-current-accounts-failed-heres-why.html

There will be a credit check when you open the new accounts.

headintheclouds43

Thanks for the replies, yes I guess I did mean standing orders :-)
I've read that article and it seems a very complicated process, especially if you get it wrong.
Also can I ask what an FP is

YorkshireBoy

FP = Faster Payment, ie that which you set up via either telephone or internet banking, and which arrives generally within 2 hours (but can take up to the end of the next business day).

TheShape

headintheclouds43 wrote: »

Thanks for the replies, yes I guess I did mean standing orders :-)
I've read that article and it seems a very complicated process, especially if you get it wrong.
Also can I ask what an FP is

If you hold a balance in an account greater than any SO due to go out, you won't go into an overdraft. If Jane (from the article) had £1750 in Tesco, the SO to Lloyds (even without the payment from Lloyd's going in) wouldn't have failed. You can also do manual transfers by FP if you want to be sure.

Jibeddy

TheShape wrote: »

If you hold a balance in an account greater than any SO due to go out, you won't go into an overdraft. If Jane (from the article) had £1750 in Tesco, the SO to Lloyds (even without the payment from Lloyd's going in) wouldn't have failed. You can also do manual transfers by FP if you want to be sure.

This. Bewildering that someone wouldn't see this coming.