Dead money = No Interest

Geoff_Woodhead

Following getting out of N Rock I found I could re-invest at 6.9% intead of 6.2%. Clever me!

It took 4 days for the money to arrive in my current acc. NO INTEREST.

The postal bond I applied for took 6 days. NO INTEREST.

10 days not earning and then 10% increase takes 100 days just to break even.

As it's a one year postal bond do I then lose out again in 12 months time?

Milarky

Do your research! Do BOI offer a BACS remittance? If they do it won't be a problem in a year's time since by then all BACS transfers will go through in the same day.

Not all bond's require cheques for the full amount to open. The Stroud Swindon's recent 7.05% for instance could be opened with £1 and the rest to follow. So here it was possible to BACS (or even CHAPs) money you had earning interest for you up to the last possible date once you had an account number.

But where bond's do require up front cheques for the full amount it might be helpful to have at least one current account that offers the same rate on all balances - smile might be one of those.

Cheques are 'dying out' we have been told - which is 'why' they have not raised clearing times and only minimally improved their use some six or seven years after apparently being told to 'sort it out' by HMG. If cheques are 'dying out' then why is any bank allowed to require them? Because they act as a check (ho ho!) on where the payment has come from and help to counter 'fraud'