First Direct Current Account

aj23_2

What is the minimum balance you'd need to keep in it to avoid the £10 fee?

I know it says average monthly balance of £1000, but presumably you'd need to keep more in it than that for the average balance to be over £1000?

Or do they literally mean keep the balance above £1000 at all times to avoid £10 fee?

binaryuniverse

The minimum you need is £0. As long as you pay in £1000 per month you won't get charged.

Alternatively, if you can't pay in £1000 every month, then you'd need to keep at least £1000 in there, at all times, to avoid the charge (although, if you do have £1000 in there, you can easily hold that in an interest paying account, and pay it in and back out again, to meet the first criteria).

Finally, you can open a savings account (bar Regular Saver) and stick a quid in there. That will also avoid the charge, although you'd have to be careful the account not going dormant.

aj23_2

Okay thank you for clarifying.

And also, for the first six months, I can open it and not pay in £1k a month and not have an average balance of £1k, without incurring a fee?

SlovakianGuy

aj23 wrote: »

And also, for the first six months, I can open it and not pay in £1k a month and not have an average balance of £1k, without incurring a fee?

I'd say that's correct.

There is no fee for maintaining the account if:
Your account has been open for less than 6 months;

SlovakianGuy

Btw, are you switching to FD from a different bank? If not, you should. You'll get £100 bonus, or £125 if you apply via MSE link.

aj23_2

SlovakianGuy wrote: »

Btw, are you switching to FD from a different bank? If not, you should. You'll get £100 bonus, or £125 if you apply via MSE link.

This is why I'm asking.

Terry98

binaryuniverse wrote: »

Finally, you can open a savings account (bar Regular Saver) and stick a quid in there. That will also avoid the charge, although you'd have to be careful the account not going dormant.

When is an account classed as dormant by FD?

I understand having a FD Credit Card also avoids the charge.

binaryuniverse

Terry98 wrote: »

When is an account classed as dormant by FD?

I understand having a FD Credit Card also avoids the charge.

That is also a way. The blurb states:

There is no cost for the first six months. After that you can avoid paying the £10 monthly account fee by:

paying at least £1,000 into the account every month
or maintaining an average monthly balance of £1,000

or also having a mortgage, credit card, Personal Loan, savings (except Regular Saver), First Directory or Home insurance with us.

The savings is one of the easiest ways.

I couldn't answer your first question as I have no idea.

Juniortopp

To get the £125 cash offer you need to open a 1st Account, switch your everyday banking to us using the Current Account Switch Service and pay in at least £1,000 within three months of opening the account.

Juniortopp

Also can i ask - whats to stop me opening an account and then after receiving the £125, closing the account before the 6 month period. Do i get any penalties?

ps. i do know if I am not happy with the service i can try and claim back £100 for leaving FD after having the account for 6 months and closing before 12 month period.

badger09

Juniortopp wrote: »

Also can i ask - whats to stop me opening an account and then after receiving the £125, closing the account before the 6 month period. Do i get any penalties?

Nothing. Unless there is a penalty mentioned in the T&Cs

ps. i do know if I am not happy with the service i can try and claim back £100 for leaving FD after having the account for 6 months and closing before 12 month period.

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