TSB to increase classic plus rate to 5%

Consumerist

skcollobcat10 wrote: »

People who had (3/6 accounts with partner) classic plus accounts pre January 2015, will they be getting 5% on each account? Just up to £1500 per account?

I don't think TSB is currently in any mood to antagonise it's customers any further.

crashingout

Thanks ArlieBird that's really helpful as being a new account holder didn't know when these things happen.

RG2015

latinaid wrote: »

TSB website says 5% on up to £1500 for new Classic Plus accounts. So it looks as if it's not just for existing customers. Still just £1500 though.

I imagine that this will this encourage new current account applicants as well as stemming the exodus of existing customers.

I wonder also if the cashback offer will be extended beyond 30th June / 31st December.

PS: Their online application page is currently down though.

pafpcg

AirlieBird wrote: »

Interest should be paid at close today.

Sorry, no. TSB credits interest for the preceding month at the end of the first working day of the month. It should have been credited late yesterday evening and have been visible in the account today, 2nd May.

It certainly was for my TSB ClassicPlus accounts (£3.41 credited for a full month with a £1500 balance).

mgdavid

pafpcg wrote: »

Sorry, no. TSB credits interest for the preceding month at the end of the first working day of the month. It should have been credited late yesterday evening and have been visible in the account today, 2nd May.

It certainly was for my TSB ClassicPlus accounts (£3.41 credited for a full month with a £1500 balance).

Yes, mine is there too - I just checked.

latinaid

pafpcg wrote: »

It certainly was for my TSB ClassicPlus accounts (£3.41 credited for a full month with a £1500 balance).

That's interesting. According to telephone banking (because of course I can't check online), my interest for last month was £3.17. I've had the full £1500 in there for the whole month.

I've just looked back and I seem to get random amounts each month - obviously I realise that months with 30 days will get less than 31 days, but I've had 7 different amounts over the last 11 months. :huh:

crashingout

thanks everyone for the helpful info on when interest is paid, I'll wait and see if anything is paid before close before I contact TSB.

eskbanker

latinaid wrote: »

I've just looked back and I seem to get random amounts each month - obviously I realise that months with 30 days will get less than 31 days, but I've had 7 different amounts over the last 11 months. :huh:

It's because interest isn't earned according to calendar months, it's calculated based on the number of days from the second working day of one month to the first working day of the following month, which, with weekends, bank holidays, etc, can give interest-earning periods of anywhere between 28 and 34 days....

HornetSaver

latinaid wrote: »

That's interesting. According to telephone banking (because of course I can't check online), my interest for last month was £3.17. I've had the full £1500 in there for the whole month.

I've just looked back and I seem to get random amounts each month - obviously I realise that months with 30 days will get less than 31 days, but I've had 7 different amounts over the last 11 months. :huh:

As best I can tell, they calculate interest on a daily basis from date interest paid to date interest paid, and while they would normally pay on the 1st or 2nd they won't pay on weekends or bank holidays.

Throw in those variances on top of whether the month had 28, 30 or 31 days, and I reckon it's possible to have that many different amounts in 11 months and have been paid accurately to the penny.

latinaid

eskbanker wrote: »

It's because interest isn't earned according to calendar months, it's calculated based on the number of days from the second working day of one month to the first working day of the following month, which, with weekends, bank holidays, etc, can give interest-earning periods of anywhere between 28 and 34 days....

Ah, that makes sense and explains it - thanks. Although weirdly, Tesco and Nationwide must calculate it in a different way, because theirs is always one of two fixed amounts depending on 31 or 30 days in the month.