Bank switching

YorkshireBoy

ceredigion wrote: »

I wouldn't do it like that.
Up grade to the Lite. look at T&C's.
3. third paragraph

Well spotted!

bspm1

Huh?

For comparison, the top easy-access savings deal open to all pays just 1.31%.
In-credit interest (AER) How many can you have?
Santander 123* (c) 1.5% on up to £20,000 2 (1 must be joint)


I have one, hubby has one and we have a joint one, so why are you saying only 1 now? Must admit we have had them for a few years though maybe its changed?

bspm1

Well my main question was (after reading from the beginning of post) was why are their fees £60 for the 3 accounts they had previously?

But to be honest I am only passing time till the sun hits the pool, oh, there you go it has hit the pool, so bye from Florida.
:D

ValiantSon

vixen1500 wrote: »

Only getting around £6 from all DDs

In which case you are getting more than the fee so you are earning 1.5% interest and not 1.24% (or any other number). If you add in that extra one pound then the effective interest rate becomes 1.56%, which again beats the 1.5% you would earn in the NatWest account and the 1.4% that you would earn in the ISA. You could have both the 123 account and one of the ISAs, if you wanted. Indeed, you could have the 123 account and the NatWest account and the ISA, which would give you a total return on £40,000 of 1.49%. If you just went for the NatWest account and the ISAs you would only get 1.41%.

It pays you to keep the 123 account.

If you want to switch an account for a switching bonus then switch an Everyday current account.

vixen1500 wrote: »

Yes, its less but thought I could put more in - getting (like most people) tired of chasing around trying to find best interest rates.

If you want a simple life then you'll have to accept lower rates. If you want better rates then you will need to do a little bit of work, but it isn't that much effort really. Surely your financial future is worth a bit of effort?

vixen1500 wrote: »

Never had a S&S ISA - longest I have had was a 2yr fixed rate. If its an investment is your money secure?

All investments come with a risk to your capital, but just holding cash also comes with risk in the form of inflation, which is eroding the value of your money. Over the longer term money invested in S&S will outstrip inflation and you will end up wealthier through investing rather than saving.

There will be periods where your investments lose value, but this is only a paper loss unless you sell the investments. Keeping invested will see those values recover and, almost certainly, exceed their previous level. The reinvestment of dividends is one of the great benefits of S&S investment (think of it as being like compound interest, but with better rates).

Investing in a multi-asset fund like Vanguard LifeStrategy; HSBC Global Strategy; L&G Multi Index; or Blackrock Consensus is a good starting point, as they are all well-diversified (which reduces risk). Doing this through an ISA means you will never pay tax on dividends or capital gains. These funds are also, all, low cost and simple set up and forget about options if that is what you want.

vixen1500

Ok thanks everyone for info - will stick with san123 Joint account, see if I can pinch a low paying DD or 2 - making sure I still get enough cashback to cover fees.
Having various reg saves maturing this month could put them in 1.4% nationwide ISA or maybe dip my toe into the S&S ISA as suggested.

2 Co-op & 3 Halifax rewards with no DDs - but no fees so not a problelm
2 Barclays Blue Rewards - fees need covering with DDs or see if I can come out of the Blue Rewards Scheme.
Only 1 BofScotland Vantage then left to sort.

Got a month left so no worries.

Cheers All

YorkshireBoy

How close are you to the PSA? If you'll exceed it then that may push you towards the 1.4% ISA over 1.5% (gross) accounts.

vixen1500

YorkshireBoy wrote: »

How close are you to the PSA? If you'll exceed it then that may push you towards the 1.4% ISA over 1.5% (gross) accounts.

No worries on that score as - "If your total taxable income is less than £17,500 you won’t pay tax on any savings income."

Thanks again for your input - its good to bounce ideas around, feel happy with the outcome

(just remembered my nationwide flexdirect is due to drop down to 1% in May lol - oh what fun)

Rosie1980

If we have one joint Santander Lite 123 account, can both of us open a regular saver? I can't see anywhere in the terms where is says we can't; unlike M&S who make it quite clear that only one of the joint account holders can have a regular saver.