How to earn the max interest from the different bank accounts there??

ceredigion

trinidadone wrote: »

I got my activation code for TSB today - It did not work. I contacted customer service, when I explained to the first advisor, the call simply disconnected. In the second call, I was put through to online banking, i was told to reregister online, and my online details were cancelled. No explaination given. I deposited the full £1500 in, I am curious to know, anyone know when exactly the min £500 should be deposited each month to ensure I receive the 5% in credit interest?

It is covered under,
"What do you need to do to earn interest?"
and it is the first bullet point.

trinidadone

colsten wrote: »

I do indeed know that, yes . However, all credit card debt is credit that is available to you. It doesn't matter whether the CC debt is on 0% or 30% - it is money you owe. The more you owe, the higher the risk you represent to a bank. The risk may be so high that they'd rather not give you a new current account. So your existing credit record may be problem when applying for additional current accounts.

You also indicated that your credit record is "not great".

I applied for the tesco current account and the tsb current account, and NONE were declined, so two separate banks DID not think the risk was high, and DID give me two separate bank accounts. Clearly my 0%, I repeat 0% interest had no affect, which is what i expected, which concludes again, not all debt is bad debt, so advising someone to pay off credit cards first instead of saving, is not the right advice.

trinidadone

Nick_C wrote: »

If you are looking to maximise interest on savings:-

One TSB current account with £1500 in gets 5% interest. No DDs needed. Just fund and withdraw each month by SO to meet the funding requirements.

Two Tesco current accounts with £3000 in get 3% interest. Monthly funding can be done from accounts you hold elsewhere. You also need to pay out 3 DDs each month. However, this can be achieved by a weekly DD to a savings account. The Post Office and Birmingham Midshires are your friends here.

Hello Nick, I have now opened the TSB, and that has £1500 sitting in there as we speak. I see from the tesco account, a min of three DD payments is needed. I was going to set up a DD for £1.00 from my tesco account to my HSBC, do you think that would be aok???

ceredigion

trinidadone wrote: »

Hello Nick, I have now opened the TSB, and that has £1500 sitting in there as we speak. I see from the tesco account, a min of three DD payments is needed. I was going to set up a DD for £1.00 from my tesco account to my HSBC, do you think that would be aok???

It is the season of good will, but it is wearing thin.
Refer back to #2

ceredigion

trinidadone wrote: »

I applied for the tesco current account and the tsb current account, and NONE were declined, so two separate banks DID not think the risk was high, and DID give me two separate bank accounts. Clearly my 0%, I repeat 0% interest had no affect, which is what i expected, which concludes again, not all debt is bad debt, so advising someone to pay off credit cards first instead of saving, is not the right advice.

Why drag up colsten post from page one? it was written in response to a post of yours that was misleading and you have already been told so.

Nick_C

See post 5.

Open savings accounts with the Post Office and Birmingham Midshires.

Set up a weekly DD from Tesco to A savings account.

Tesco say the DD payments a month minimum. You can do this with one DD mandate which takes a payment ever week.

trinidadone

Nick_C wrote: »

See post 5.

Open savings accounts with the Post Office and Birmingham Midshires.

Set up a weekly DD from Tesco to A savings account.

Tesco say the DD payments a month minimum. You can do this with one DD mandate which takes a payment ever week.

Thanks for the quick response Nick, I did see that post, but as I already have a HSBC, i was going to use that instead. since sending you a message, i opened a online saver from the Post Office.

To recap since starting this thread I have:

HSBC (£200.00 sweetener - already received the £150.00)
Marcus savings - 1.5%
Post office saver - 1.45%
Tesco - 3% (can I open a second account, does this have to be a joint one?) £3000.00
TSB - 5% £1500.00 credit

citadelp

Hi, I'm also new to optimising bank accounts, so maybe someone here can help shed some light on what the best strategy would be:

I currently have 123 Santander account that I have my salary paid in (~100k p.a.) and making use of the cashbacks. I have now opened TSB Classic Plus and Nationwide FlexDirect for the 5% interest and will also open the regular savers there.

Now there are 2 things that are unclear to me:

1) I guess it's also worth opening a First Direct account (switching bonus + regular saver has good interest), as well as HSBC Advance and Halifax Rewards accounts also for the switching bonus. However, I do not have 3 accounts to switch from - I suppose I can open an Everyday Current Account with Santander and switch that to one of these, but:

• Can I switch this new Everyday account to Halifax Rewards immediately after opening or does this lead to any penalties/problems?
• How do I go about opening the HSBC and First Direct accounts without other accounts to switch from? Is there a good strategy for this?
• For HSBC, is the Premier account much better than the Advance? I have looked at Premier accounts and at a first glance the Barclays Premier account seems to have better rewards offers, so I might try to open that one in the future to pay my salary into, but would be interesting to get some more insight on how these two compare.

2) I also plan to open 2 Tesco Bank accounts for the interest rates, but I am unsure about how to handle the DD requirements. I want to leave most of my DDs with Santander for the cashback and I will probably put 2 credit card DDs (which is all the credit cards I have) for the Halifax Rewards account to tick the boxes for the 2 DDs there. I have read this thread and understand that regular savers with PO and Birmingham Midshire can be used for the Tesco DDs with weekly payments - but:

• If I set up 2 Tesco accounts, do I need both of these regular savers (1 to satisfy the DDs for 1 of the Tesco accounts) or can I only set up a PO regular saver and pay into that 3 times per month from each of the 2 Tesco accounts?

Thanks for your help in advance! This is all so confusing to figure out, but it also seems worth it.

Nick_C

Citadel. Partial answer to your points.

1) when you say you have a 123 current account, I hope you mean 123 Lite!? It's not worth paying £5 a month fees for 1.5% interest. The lite account still gives you cashback on your DDs, but the fee is only £1 a month. There are better options for your savings.

2) the Tesco accounts each require 3 DDs to be taken each account month. You can satisfy this with one DD mandate that takes a payment each week for a savings account! I would suggest £10 every week. So one Post Office plus Birmingham Midshires account achieves this.

citadelp

Thanks for your reply

1) I have the one with 5 pounds fee right now, but from this thread I am aware that the Lite one is the better option and I will rectify that eventually. For now it is my main account that is used for most transactions, but given that I will have the credit card DDs on the Halifax account (at least that's the plan for now), I might as well make that my main account and change the Santander one to the Lite at the same time.

2) That clarifies it, makes sense.

Would be great to get insight on the other points as well, but things are slowly starting to become a bit clearer.