Where to put my small pot of money?.

Bookowl

Hi,
Why would the tsb classic plus loose around £120 a month?
Why would I switch to moving £250 a week?
I have a Nationwide flex account and was going to keep some of my money in there and use it as a current account?
Also my job situation is unstable currently and I may not be able to put into either account after the small pot of monry is deployed, my job is due to end in March,

jimjames

Bookowl wrote: »

Had a look at the tsb classic account, don’t know how comfortable I feel about putting £500 in every month and then taking it out again, surely they’d notice if I cycled money in and out of the account?

Do you think the bank spend time looking at what you're spending? Do they set a limit for how long your wages need to be in the account before you spend them?

The answer is no so it's not something to worry about. Many people transfer money around for different reasons

planteria

agreed.. i have 10 current accounts. one lands my monthly salary. the other 9 see the same money cycled through them in c20mins around the 4th of each month.

Eco_Miser

Bookowl wrote: »

Hi,
Why would the tsb classic plus loose around £120 a month?

Because you are transferring about £120 a month into the higher paying Flexclusive Regular Saver, in addition to the £130 a month ( £30-40 a week) that you're actually saving.
P.S. It's lose, not loose.

Bookowl wrote: »

Why would I switch to moving £250 a week?

Because you wouldn't have £1000 in the account to move all at once. You could do £250 a week from the start if you like.

Bookowl wrote: »

I have a Nationwide flex account and was going to keep some of my money in there and use it as a current account?

You mean the one called FlexAccount? (There are six current accounts starting with Flex.) That's probably OK (I don't think there's anything to stop you having one and a FlexDirect at the same time, but I've not checked all the T&Cs), but remember that transfers between Nationwide accounts don't count towards the £1000 pay-in the FlexDirect requires monthly.

Bookowl wrote: »

Also my job situation is unstable currently and I may not be able to put into either account after the small pot of monry is deployed, my job is due to end in March,

You can keep circulating the money for the rest of the year (unless you need it), cut the money to the Regular Saver to just £25.

Also if you're going to be short of cash, maybe don't lock any of it away in a LISA (which would let you keep feeding the Regular Saver - I assumed you would be putting £4k in a LISA as per previous suggestions).

Bookowl

Before I take the plunge, I open a flex regular saver with nationwide and transfer £250 from my nationwide current account into it on a monthly basis by standing order. I also then open a tsb classic plus account and move £1000 from my nationwide current account to the classic plus tsb?

Bookowl

Eco_Miser wrote: »

Yes, that's what current accounts are for.
A long time ago now, I had to open my second Lloyds Vantage account (gone now - they paid interest on up to £5000 if £1000 was paid in each month and you could have three accounts). I said the purpose was saving, he said you'll be just moving the £1000 in and out then? or words to that effect. They know it happens, and accept it in the hope of selling other stuff to you, and to the other customers take the offer at face value and who do pay their salary in and bills out.
Not Direct Debits, Standing Orders.
But no, don't put it all in one account and move a bit each month to another account.

Initially spread it among the accounts so there's enough in each that you get the maximum interest available, but no more (except very temporarily).
FlexDirect and Classic Plus take £4000 between them, and another £250 for the first month's RS. The rest of your small pot needs to go elsewhere, such as a LISA, or other suggested accounts.

Then feed £250 a month into the Flexclusive Regular saver by standing order from the FlexDirect.
Pay £1000 a month to the Flex Direct from TSB Classic Plus. Move £758 a month (or thereabouts, depending on the interest) from FlexDirect to Classic Plus, either by Standing order or Faster Payment.
Pay your £30/40 into the Classic Plus as you get it.
The balance in the Plus will reduce by around £120 a month, so should just about last. You could top it up if you have money available elsewhere at a lower interest rate. When the balance gets near to £1000 switch to moving £250 a week - you don't want to go overdrawn while bouncing the money around.

Review the other answers, and be sure you know what you're going to do. It's actually quite easy and lots of the contributors to this board do it, often with many accounts.

Pay £1000 a month to the Flex Direct from TSB Classic Plus. Move £758 a month (or thereabouts, depending on the interest) from FlexDirect to Classic Plus, either by Standing order or Faster Payment. .

Pay £1500,Tsb classic to flex direct current account? And then move £800 from flex direct to tsb classic? Why would I do this?
Thanks

YorkshireBoy

Bookowl wrote: »

Pay £1000 a month to the Flex Direct from TSB Classic Plus. Move £758 a month (or thereabouts, depending on the interest) from FlexDirect to Classic Plus, either by Standing order or Faster Payment. .

Pay £1500,Tsb classic to flex direct current account? And then move £800 from flex direct to tsb classic? Why would I do this?
Thanks

You seem to be double posting the same text, and re-quoting a quote?

I suspect I'm not alone when I say I don't understand the last paragraph and it's resultant question. Perhaps you should clarify.

Eco_Miser

Bookowl wrote: »

Pay £1000 a month to the Flex Direct from TSB Classic Plus. Move £758 a month (or thereabouts, depending on the interest) from FlexDirect to Classic Plus, either by Standing order or Faster Payment. .

Yes

Bookowl wrote: »

Pay £1500,Tsb classic to flex direct current account? And then move £800 from flex direct to tsb classic? Why would I do this?
Thanks

Where did the "£1500" and "£800" come from?
You need to pay in £1000 to the FlexDirect each month, so that comes from TSB.
You need to pay £250 to the Flexclusive RS each month, that comes from the FlexDirect.
You don't need the other £750, or the £8ish interest in the FlexDirect any more, so move it back to TSB, meeting the requirement to pay in at least £500 a month.

Eco_Miser

Bookowl wrote: »

Before I take the plunge, I open a flex regular saver with nationwide and transfer £250 from my nationwide current account into it on a monthly basis by standing order. I also then open a tsb classic plus account and move £1000 from my nationwide current account to the classic plus tsb?

To do as suggested you need a TSB Classic Plus that starts with £1500 of your lump sum in it.
You need a Nationwide FlexDirect that maintains a normal balance of £2500.
You need a Flexclusve Regular Saver that receives £250 a month.
Having got that set up, follow the instructions given earlier.

xylophone

This is like like watching paint dry.

I gather that you wish to keep easy access to your £8,400 and so do not want to use LISA or HTB with any of these savings?

perhaps you might use your future savings for this purpose.

In which case, open both a Nationwide Flexdirect account and a TSB Plus account.

Deposit £2,500 in the Flexdirect and £1500 in the TSB.

Open a Nationwide Flexclusive Monthly Saver and deposit £250.

Open an online savings account with the best interest rate available.

Set up a same day standing order (around the mid month) for £1000 from NW to TSB and from TSB to NW.

Transfer £250 a month from your NW Flexdirect to your Flexclusive saver each month.

Replenish your Flexdirect from your on line saver account.

The above is about as simple as it gets.

If you should have at least three DDs that pay out each month, consider opening a Tesco current account as well as the above. This would pay you 3% on £3000 so that you would only need to deposit £1000 in the on line savings account suggested above.

If you should happen to have six DDs that pay out each month, then consider opening two Tesco current accounts and depositing £2000 in each - you could consider topping these up each month.