Transferring Money in and Out of accounts

Terry98

I have read that a few people on here automate the process but I have found doing the transfers manually is the only way to ensure it is done properly.

My salary and quite a few of my DD's are paid on the first working day of the month so I sort everything out for the month then.

On top of the obligatory minimum payment into each account I have a few monthly saving accounts which are due on different days of the month but I am getting lazy and ensure there is enough money in each account at the beginning of the month to cover them before I transfer any residues back to my main account.

PRAISETHESUN

I have SOs set up such that Bank A transfers to Bank B, and Bank B simultaneously transfers the same amount to Bank A. I have multiple accounts and I spread these SOs a few days apart to avoid them overlapping on weekends, etc. Some accounts let me go overdrawn (unarranged overdraft), but the matching SO transfers in money by the end of the working day so no fees are charged. For the accounts that won't let me go overdrawn these usually give a few tries over the course of the day to make the SO, so if the money hasn't come in at 6am (or whenever the first attempt is) then it usually goes through around 2pm or so.

The only bank that throws a spanner in the works is Tesco when payments go through on a Saturday, but at worst it's 2 days of lost interest over a weekend when the money is sitting at 0% instead of 3%, but I don't mind since I don't have to do anything manually

Missus_Hyde

Like a lot of the other posters on this thread, I move the necessary amounts of money around manually, with a monthly merry-go-round at the beginning of the month, creaming off the interest as I go.

I don't need to worry about weekends and bank holidays then.

hgt

As many others have said, it's when your monthly SO date falls on a weekend that you can run into problems as the SO will not go until the next working day (Monday).

The way I get around that is to feed all my current accounts from a Tesco current account... they will always pay the SO on the day it's due (even if it falls on a Saturday or Sunday).

So for example I might have an SO from Tesco to HSBC on the 10th, HSBC back to Tesco on the 11th. So there is always a clear day while the money is at HSBC before bouncing back (slightly longer if the date of the HSBC to Tesco SO falls at a weekend, so no chance of a negative balance.

If we use any other bank to do the above (let's use Halifax as an example) there is a slight risk of a negative balance. Let's say we do an SO from Halifax to HSBC on the 10th, then HSBC back to Halifax on the 11th. All is fine until the 10th falls on a weekend, in which case both SO's will execute in the early hours of the Monday morning, but there is a risk the HSBC one would fire before the money from Halifax would have arrived.