The Top Easy Access Savings Discussion Area

pecunianonolet

Band7 said:

pecunianonolet said:

 

Those with ML checks, were your funds blocked during the review?  

Mine weren't blocked.

I have a substantial sum in CHIP, and even more now after the 3.4% news, but I would never rely on a single provider for all of my instant (and not instant) access funds. Therefore I still have some in Tandem and Zopa as well for now.

No worries, I would never put all eggs in one basket either. Question is now whether to take the 5k from YBS and closing that (interest towards this tax year where I still have head room as it is sitting there at 3.35% and there were no movements after the last BOE meeting, a substantial sum is with Coventry at 3.25%. I don't have Chip yet as their previous practise of bonus was not for me alongside my scepticism of open banking.

Am I right, they pay interest the 4th working day of the new month? That would be the 6th of April and new tax year.

Nath4n

Wow, quite the jump. That's enough of a difference to justify withdrawing my full FSCS limit Coventry Limited (6) and putting it all in Chip. Will have to do in 2/3 tranches to stay under limits, so fingers crossed this isn't a stressful process...

infoadict

Don't forget that withdrawing from Coventry and Yorkshire means loss of interest for 1 day

Nath4n

infoadict said:

Don't forget that withdrawing from Coventry and Yorkshire means loss of interest for 1 day

Oh interesting, why is that - I had a quick look at the T&C's but couldn't see anything obvious.

jak22

The withdrawal is scheduled for and happens on the next day but that doesn't mean any loss of interest.

jimexbox

Clearbank has fscs protection. What happens if chip goes to the wall after you've sent money, but before it lands in clearbank? Same on withdrawal.

ForumUser7

infoadict said:

Don't forget that withdrawing from Coventry and Yorkshire means loss of interest for 1 day

I always thought that, but YBS says ‘Interest is earned up to and including the day of withdrawal.’ 

Coventry pays up to and including the day before it goes out, but IIRC, the amount remains on the balance on the day the withdrawal is supposed to be processed, and then comes off later that same day.

Buckinghamshire BS (who I’ve found to do same day withdrawals if you put in the request in time) say ‘Interest is calculated on the balance of your account up to and including the day before you make the withdrawal.’

It appears all pay interest as standard, it’s just with Coventry and YBS the withdrawal is scheduled for a day ahead.

I.e. YBS

Day 1 deposit £10,000
Day 7 request withdrawal of £10,000
Day 8 withdrawal of £10,000 arrives in external account

Interest is paid on Day 1-7 inclusive, but not on Day 8.

I believe this is the same with Coventry (and Buckinghamshire BS), but I may be wrong

infoadict

Very interesting. I've always worked on the basis I lost a days interest, but if i don't then I may rethink my rate tarting

What about Charter Bank? Again I've always thought I lost 1 days interest.

ForumUser7

infoadict said:

Very interesting. I've always worked on the basis I lost a days interest, but if i don't then I may rethink my rate tarting

What about Charter Bank? Again I've always thought I lost 1 days interest.

Idk about Charter, but for Kent Reliance (both part of OSB group), I found if I called before 15:30 on a working day, the withdrawal would be in my nominated account the same day, usually by 6pm IIRC.

'Where interest is payable, interest will be earned from the day the funds are deposited into your account until the day before withdrawal, closure or transfer.'

Therefore for KR:

Day 1 deposit £10,000
Day 7 request withdrawal of £10,000 before 15:30
Day 7 withdrawal of £10,000 arrives in external account

Interest is paid on Day 1-6 inclusive, but not on Day 7, as you could then put it somewhere else for the rest of day 7 onwards that'd earn interest.

Usually the information is either in the interest section of the ts and cs, or in the withdrawal sections

pecunianonolet

"Interest will be calculated daily and paid monthly on the fourth business day of each month."

That would be 6th of April, unless Chip calculates Saturday 1st April as a business day, which I doubt. So interest paid for the remainder of March will count towards new tax year PSA. 

They also state the below, wonder if ML checks, even if funds seem to be available, mean the account is suspended while they wait and process statements to clarify the source.

"We may need to move your Instant Access account balance to a suspension account if we suspend your account while we investigate for regulatory purposes or to protect your account for security reasons. Any balances held in suspense accounts will not be eligible for the accrual of Interest."

My last point, if you are new to Chip and pay in 5k, you can get £25 cashback with Topcasback (TCB). Doesn't state on TCB site that funds have to stay in for a specified amount of time, unless I missed it somewhere.