Best time of month to switch?

Raffers

Couple of quick questions:

My employer pays on 20th of each month normally. If I want to switch, should I ideally leave it until 21st to apply to avoid salary payment worries?

I'm coming to the end of my fixed rate mortgage at the end of next month. Does the mark on my credit file from switching outweigh the cash benefit of doing it?

Thanks.

wiseonesomeofthetime

Raffers wrote: »

Couple of quick questions:

My employer pays on 20th of each month normally. If I want to switch, should I ideally leave it until 21st to apply to avoid salary payment worries?

I get paid on 25th with most DDs leaving on the 1st.

I started the process just after pay day for a switch from the 2nd.

Gives it plenty of time to sort out then.

Raffers wrote: »

I'm coming to the end of my fixed rate mortgage at the end of next month. Does the mark on my credit file from switching outweigh the cash benefit of doing it?

I would be surprised if you have not already started negotiating or applying for a fresh mortgage deal.

I believe credit checks take a while to appear on your file and are not instant. I'm sure other will correct me if I am mistaken.

Only you can decide if the £250 incentive is of real value to you.

Good luck with your decision making.

badger09

Raffers wrote: »

Couple of quick questions:

My employer pays on 20th of each month normally. If I want to switch, should I ideally leave it until 21st to apply to avoid salary payment worries?

I'm coming to the end of my fixed rate mortgage at the end of next month. Does the mark on my credit file from switching outweigh the cash benefit of doing it?

Thanks.

Do you particularly want to switch the account into which your salary is paid? If so, then a switch shortly after your salary payment date is sensible.

Do you have only one current account? Common sense suggests having at least 2, with different banking groups for those times when IT systems fail, card gets declined etc.

If you are thinking about remortgaging soon, I would not switch your 'main' account. Lenders like to see stability, and a long held, well run account will help.

It is possible to set up a 'donor' account, and switch that instead.

Kim_13

I would advise postponing switching until you've secured a new fixed rate deal. If you wish to go down the donor account route, postpone this until afterwards also, as applying for the donor account will result in a credit search.

If you do a full switch you would be covered by the Current Account Switch Guarantee, so the onus is on the bank to rectify any issues. They'll refund any charges you might incur if something went wrong, but I'd try to switch as far from pay day and DD dates as you can, to maximise the chances of a seamless switch.