Regular Savings Advice

bhjm

Zanderman wrote: »

Nationwide don't give the 5% on the £2500 a second time anymore. But FlexD account still worth it for giving access to the reg saver.

[IMG][/img]then I may misunderstand this text.

Newly_retired

Maybe I am missing something, but can you not just open an additional current account ( no switching) to get its 5% Regukar Saver?

eskbanker

bhjm wrote: »

[IMG][/img]then I may misunderstand this text.

No idea where you got that image from but as it states that rates are correct as at 2 August 2016 it's obviously an out of date page that predates Nationwide's closure of that loophole last year.

So, at the risk of stating the obvious, instead of reading some old cached copy, you'd be better referring to their current terms, as published at https://www.nationwide.co.uk/products/current-accounts/flexdirect/features-and-benefits:

If you previously held a FlexDirect account and benefitted from the introductory interest rate on that account you're not entitled to the introductory rate again.

although there is still a workaround involving joint accounts....

Zanderman

bhjm wrote: »

then I may misunderstand this text.

Yes, you do misunderstand the text you highlight. It's OUT OF DATE!

As I said:

Zanderman wrote: »

Nationwide don't give the 5% on the £2500 a second time anymore. But FlexD account still worth it for giving access to the reg saver.

This is not difficult to understand!

aj23_2

karlie88 wrote: »

Why are you looking at the total amount of interest earned?

If you're a savings enthusiast and a MSE member, you need to be concentrating on the interest rate. You're clearly happy to put in the effort, so go for the account with the highest interest rate, fill it, move on to the next account etc.

Also, you'd be able to make 12 deposits with Chorley. You could squeeze in this month's payment, then continue with 11 monthly payments starting from 1st July.

Now that you've divulged that you've got a Tesco current account with a low balance, I would be filling that up with £3k as soon as possible - you're practically throwing money away.

Finally, summer 2020 is 2 years away for buying your house, I personally think 6-12 months is enough time for you to be more careful with current account/credit card applications. So if I were you, I'd be maxing out the 5% regular savers and applying for their respective current accounts (and getting some switch bonuses along the way).

Each to their own.

Because the total amount of interest earned is what matters, not the rate. If you read my OP, I couldn't start this month anyway. Hence why I said 10 payments.

I personally don't want to switch more than once in 12 months. I've just applied for a credit card too so I don't want to do things close together.

I wouldn't say I'm losing out either. My using my £3k from Tesco Bank, yes I've missed out on about £35 of interest, but I have gained £3k in bonuses from my LISA. Sometimes you need to look at the bigger picture. 3% vs 25%. However you want to spin it, I'm £3k better off than 5 months ago from essentially no effort at all on my part. I've gone from barely having four figures to my name to five figures in two years, so I've clearly been doing something right.

Zanderman

aj23 wrote: »

Because the total amount of interest earned is what matters, not the rate.

Actually the rate is, er, fairly important!

karlie88

aj23 wrote: »

Because the total amount of interest earned is what matters, not the rate.

Quote of the day/week/month/year. :rotfl:

You've been maxing out the Help to Buy ISA - good boy.

The point that I'm trying to make (along with several other people) is that you've been depositing several thousands of pounds into Leeds BS and Nottingham BS savings accounts, both of which earn less interest than your Tesco Bank account. Your priority should be to fill the 3% current account, rather than the 2% and 2.55% savings accounts.

You came here for advice, as your title suggests, but are choosing to dismiss and ignore the sensible advice of fellow MSEers. It's either the aj23 way or the aj23 way. You'll learn (one day).

aj23_2

Zanderman wrote: »

Actually the rate is, er, fairly important!

I didn't say it wasn't, but interest rate vs monthly deposit/total deposit is fairly important too.

Look at YBS RS: 2 years, 2%, 500pm. You'd get £253 in interest.

FD RS: 1 year, 5%, 300pm. You'd get £96 in interest.

People on here always look at the headline rate, whereas you can often get more by looking at non-CA linked and longer term accounts.

I'd rather go for YBS.

aj23_2

karlie88 wrote: »

Quote of the day/week/month/year. :rotfl:

You've been maxing out the Help to Buy ISA - good boy.

The point that I'm trying to make (along with several other people) is that you've been depositing several thousands of pounds into Leeds BS and Nottingham BS savings accounts, both of which earn less interest than your Tesco Bank account. Your priority should be to fill the 3% current account, rather than the 2% and 2.55% savings accounts.

You came here for advice, as your title suggests, but are choosing to dismiss and ignore the sensible advice of fellow MSEers. It's either the aj23 way or the aj23 way. You'll learn (one day).

Well, no, because the Tesco Bank account could never get more than £88 a year currently at 3%

My Nottingham one has no length of term (I can deposit £250 a month for the rest of my life if I want) and Leeds has a max. balance of £6000, which when I reach I can leave it and it will garner 2.55% without having to do anything. It's called compounding, several on here don't seem to get that. Leeds has earned me double what my Tesco Bank one has.

I did say above that I would try and put back into Tesco Bank, but you all seem to think I have an indefinite amount of money to deposit into every institution. I have enough for two regulars and the HTB. I now use RS to save money to put into the LISA. So how you can say I'm ignoring advice is beyond me. I've said that I'm trying to put back into Tesco Bank. I can't magic 3k out of thin air.

I can't close Nottingham early else I lose the bonus portion of the interest and same with Leeds. Hardly worth closing early and losing the bonus element of what I've been accruing for 12 months is it? My priority is to close Nottingham and deposit to my LISA (Hello, £1000 bonus) and then end of August withdraw £3000 from Leeds and put it in Tesco (so I don't lose the interest or bonus elements) and then build it back to £6000. Furthermore, Leeds was my only account that actually put the rate up in November in accordance with the base rate, so it's likely they would again.

Longer term accounts sometimes are better than a quick fix high headline rate for the compounding. Maybe you'll learn that one day.

I wasn't going to replenish Tesco yet, but now I will. So I have listened. Hardly my way or no way. :beer:

bhjm

eskbanker wrote: »

No idea where you got that image from but as it states that rates are correct as at 2 August 2016 it's obviously an out of date page that predates Nationwide's closure of that loophole last year.

This is shown if i want to upgrade my FlexAccount so shown in my onlinebanking.