For those who have a TSB Classic Plus Account

CatLady13

I transfer £1k into my Nationwide account once per month. £250 goes into the RS there and the remaining £750 goes into my TSB account. £250 goes into my TSB RS and I leave the money in there and use my TSB for debit card transactions to get the £5 cashback plus I have 2DDs for the other £5 cashback.

When the cashback finishes, I will probably still use the TSB account as I do now until they stop the 5% interest or I need the cash.

Zero_Sum

CatLady13 wrote: »

I transfer £1k into my Nationwide account once per month. £250 goes into the RS there and the remaining £750 goes into my TSB account. £250 goes into my TSB RS and I leave the money in there and use my TSB for debit card transactions to get the £5 cashback plus I have 2DDs for the other £5 cashback.

When the cashback finishes, I will probably still use the TSB account as I do now until they stop the 5% interest or I need the cash.

Open a co op account for debit card spend

Katiehound

dont_use_vistaprint wrote: »

I'm not really sure its worth it to be honest for all the hassle and extra accounting and at the end of they year you have to close all your accounts and do it all again when all the deals end, but I thought I'd try it out for a year first to be sure.

This thread is about the TSB Classic Plus a/c. It doesn't have an end date, so you don't need to close things and start again, or are you, by chance refering to Nationwide a/cs?
Confusing!

jimjames

RG2015 wrote: »

This sounds a bit contradictory. "Any excess savings" implies an amount that varies. Surely keeping exactly £1,500 in this account is the only way to maximise the income.

I store any excess savings in a Marcus account earning 1.50% AER.

Maybe my confusing terminology. I fill reg savers and keep very little cash as the majority of my money is invested. Any surplus is in the TSB and other current accounts. I have no need for more cash than can be stored in those and reg savers and the lowest rate I get is 3%

dont_use_vistaprint

eskbanker wrote: »

Not as stated, you need to remove the reference to 'by DD', not least because you can't pay money into one of these accounts by DD....

No.

No.

No, not true either.

The real account sounds somewhat better than the fictional one though....

That's very misleading replies / advice ., you need to fund £500 per account per month. If you over fund you earn 0% on the difference so are effectively losing interest so you do need to transfer £500 out each month, so for 3 accounts that's 6 DD or Standing orders - it doesn't really matter what they are called, you set them up on your accounts the same and the end result is the same - 6 scheduled transactions per month across at least 4 different bank accounts for £18 a month.

IMO the real account is a poor product in comparison to others on the market but Iv'e only had it a month. If you dont mind doing a ton of admin and making your finances a mess for a few pounds of interest then it seems to work. They also take ages to supply activation codes for the account when set up so you can transfer money in but not out.

Gers

dont_use_vistaprint wrote: »

That's very misleading replies / advice ., you need to fund £500 per account per month. If you over fund you earn 0% on the difference so are effectively losing interest so you do need to transfer £500 out each month, so for 3 accounts that's 6 DD or Standing orders - it doesn't really matter what they are called, you set them up on your accounts the same and the end result is the same - 6 scheduled transactions per month across at least 4 different bank accounts for £18 a month.

IMO the real account is a poor product in comparison to others on the market but Iv'e only had it a month. If you dont mind doing a ton of admin and making your finances a mess for a few pounds of interest then it seems to work. They also take ages to supply activation codes for the account when set up so you can transfer money in but not out.

Parallel universe account?

NBLondon

aj23 wrote: »

I switched from Halifax Reward to TSB Classic Plus to use as my main bank account

I have both - salary goes into Halifax, collects the reward and then £500 gets moved to TSB (which already has £1500 as a float); some more to a Halifax Regular Saver and leaves an emergency float. I take day to day spending from TSB - getting a bit of cashback on contactless and putting bigger items onto a TSB cashback Credit Card - and any surplus at the end of the month gets shuffled to an ISA. It means I have to log on to two current accounts once a month or so but the same money gets multiple chances to earn me interest or cashback. I also have two debit cards - so if one system crashes I have access to money from the other and a float in each for emergencies.

KTF

I have two of the accounts. Each have £1500 in them, a standing order transfers £500 between them each month then I log in once a month to skim off the interest.

eskbanker

dont_use_vistaprint wrote: »

That's very misleading replies / advice

Did you manage to type that with a straight face?! I imagine that most won't have too much difficulty spotting the irony....

dont_use_vistaprint wrote: »

you need to fund £500 per account per month. If you over fund you earn 0% on the difference so are effectively losing interest so you do need to transfer £500 out each month, so for 3 accounts that's 6 DD or Standing orders - it doesn't really matter what they are called, you set them up on your accounts the same and the end result is the same - 6 scheduled transactions per month across at least 4 different bank accounts for £18 a month.

I think you'll find it does really matter what you call them - for those using current accounts to earn relatively decent interest, the requirement of many to use real direct debits is increasingly onerous, so an account like this that has no such obligation is therefore significantly easier to operate. Shunting money around to satisfy minimum monthly funding and to skim off interest doesn't have to be scheduled to run automatically but obviously it's easier to do it that way, hardly a disadvantage.

dont_use_vistaprint wrote: »

IMO the real account is a poor product in comparison to others on the market

Which high-interest current accounts are you comparing it with? The only other one I'm aware of that pays 5% (Nationwide FlexDirect) only does so for a year and has exactly the same issue with interest being payable on a capped amount, necessitating interest skimming, and also a minimum funding requirement. The next best, at 3% (Tesco), does involve setting up real DDs over and above all the same issues....

aj23_2

You don't need DDs for TSB Classic Plus. Just £500 min. pay in monthly.