The Top Easy Access Savings Discussion Area

snowqueen555

Monzo have decided to shut my account down. It was a dormant account I started using again so I could access Chip (4.84%), so I figure they don't want my custom anymore. I need to close my Chip account down then before Monzo shuts me down.

As this is my flat deposit money I'm wondering if it's worth just parking it in my already open Chase account offering 4.1% or faffing around trying to find another savings account?

Bridlington1

snowqueen555 said:

Monzo have decided to shut my account down. It was a dormant account I started using again so I could access Chip (4.84%), so I figure they don't want my custom anymore. I need to close my Chip account down then before Monzo shuts me down.

As this is my flat deposit money I'm wondering if it's worth just parking it in my already open Chase account offering 4.1% or faffing around trying to find another savings account?

First of all I'm sorry to hear Monzo are closing your account.

You don't need to close your Chip account just because Monzo are closing your account. You can change your nominated account for Chip in the app so you can just link Chip to a different current account and carry on using it as normal. I changed my nominated account for chip earlier this year after LBG decided to close my accounts and I found it pretty straightforward to do.

Having said that 4.84% isn't a great rate anymore so you may want to consider opening a new savings account elsewhere at a higher rate whilst you're at it.

Sepulveda

I'm a newbie here so if my question is a bit daft please forgive me! 

For context, I recently inherited a fairly decent amount of money. Until now, I knew little about how to get the best return on savings accounts etc (having not really been in the position to have a lot of savings), so the last few weeks have been a very steep learning curve. Thank you to everyone on this forum and on the fixed-savings board as I have learned a LOT from reading your posts - and found some great high-interest accounts!

To get to my question - I read on here about the Gatehouse 5.23% EA account being only open to existing customers. So I opened a Gatehouse 4.6% 95 day notice account, min £500 (not funded yet) and was then immediately able to open the 5.23% EA account (which now has £20k in it) - it's the best rate EA account I've found. (I have opened a number of EA accounts, an ISA fixed 5.65%, plus 3 fixed rate bonds, as I want to spread the money around).

What I'm concerned about is, if I don't fund the Gatehouse fixed notice account within the 30 day period, under the terms and conditions it will be closed. I don't really want to fund it as I have much better rates with my other accounts elsewhere, including with the Gatehouse EA. And I don't see the need to have a notice account. So if I don't fund it (and it closes), I'm assuming everything will still be fine with my Gatehouse EA account? i.e. they won't close it and tell me to !!!!!! off! As basically I opened the notice account only as a way to get access to the EA account, if that makes sense. Although I'm sure they know people do that?!

I did the same with Oxbury - opened the EA 4.94% to then get access to the Oxbury 6.01% 1 and 2 year bonds, which are now funded - but the difference is my Oxbury EA account does have the minimum of £1k in it.

Also, I wondered what proportion of your money do you put into fixes vs easy access? I found this hard to decide as I don't have a crystal ball, at the moment its about 40% in fixed rate bonds (1 and 2 year) and the rest EA.

Anyway, thanks again for everything you have all posted here, its been so helpful and I appreciate it!

brucefan_2

@janusdesign

Thank you very much for the heads up on the Secure Trust account.

This will nicely fit a need in helping me park some money to manage my different 'pots', but didn't have 1k floating around to open up the account as it was.

Account opening was pretty straightforward and initial deposit showed up in the app fairly quickly.

Again, many thanks.

allegro120

Sepulveda said:

I'm a newbie here so if my question is a bit daft please forgive me! 

For context, I recently inherited a fairly decent amount of money. Until now, I knew little about how to get the best return on savings accounts etc (having not really been in the position to have a lot of savings), so the last few weeks have been a very steep learning curve. Thank you to everyone on this forum and on the fixed-savings board as I have learned a LOT from reading your posts - and found some great high-interest accounts!

To get to my question - I read on here about the Gatehouse 5.23% EA account being only open to existing customers. So I opened a Gatehouse 4.6% 95 day notice account, min £500 (not funded yet) and was then immediately able to open the 5.23% EA account (which now has £20k in it) - it's the best rate EA account I've found. (I have opened a number of EA accounts, an ISA fixed 5.65%, plus 3 fixed rate bonds, as I want to spread the money around).

What I'm concerned about is, if I don't fund the Gatehouse fixed notice account within the 30 day period, under the terms and conditions it will be closed. I don't really want to fund it as I have much better rates with my other accounts elsewhere, including with the Gatehouse EA. And I don't see the need to have a notice account. So if I don't fund it (and it closes), I'm assuming everything will still be fine with my Gatehouse EA account? i.e. they won't close it and tell me to !!!!!! off! As basically I opened the notice account only as a way to get access to the EA account, if that makes sense. Although I'm sure they know people do that?!

I did the same with Oxbury - opened the EA 4.94% to then get access to the Oxbury 6.01% 1 and 2 year bonds, which are now funded - but the difference is my Oxbury EA account does have the minimum of £1k in it.

Also, I wondered what proportion of your money do you put into fixes vs easy access? I found this hard to decide as I don't have a crystal ball, at the moment its about 40% in fixed rate bonds (1 and 2 year) and the rest EA.

Anyway, thanks again for everything you have all posted here, its been so helpful and I appreciate it!

If you don't fund your GH notice account your 5.23% EA won't be affected.
I've recently done the same with Oxbury.  I've opened 95 days' notice (funding window 90 days), didn't fund it (might do in future), which then enabled me to open and fund 6.01% fixed.  What you did makes perfect sense, many people do the same.

As for proportion. It is always down to individual needs and preferences. 
I prefer my money being accessible, so my fixed proportion was always very low and during the low interest era I didn't have any fixed bonds for a few years. Now the game has changed and I have about 8% of my money in 1 year fixed. I keep about 14% in 90-95 day's notice accounts, approximately 15% in regular savers, 20% in ISAs and the rest in EA accounts.  This is a very rough calculation and changes all the time depending on what offers are there on the saving market.

Zaul22

The Secure Trust App is new as well I think. They never had one a few months ago when their account was briefly year the top of the list. 

jaypers

How long do YBS withdrawals take? First one I’ve tried and nothing yet after a couple of hours. TIA. 

patpalloon

BooJewels said:

@patpalloon You can earn up to £18,570 in total before you would pay any tax, that could be made up of earnings, pensions and your interest.  So you could earn up to a further £4,570 (approx. £380 per month) before you paid any tax on your interest if it were nudged above the total of the allowances, see below. 

If you were to put your annual allowance of £20k into an ISA, the interest on that would be tax free, so you could add something in the region of £900 to your potential earnings before tax comes in to play.

Your allowances are made up of your (linked to Gov web page):

Personal Allowance = £12,570 - this could be earnings, pensions (inc State Pension) or in the absence of any, interest.

Your starting rate for interest, taxed at 0% = £5,000 - this is reduced pound for pound with any earnings above your Personal Allowance above.  (so if you earned £14,570 in a job, your starting rate would only be £3,000)

Your Personal Savings Allowance = £1,000 - the amount of interest taxed at 0%.

So, £12,570 + £5,000 + £1,000 = £18,570

Thanks, I understand all this - so only when my total income (interest + earnings goes over 18,570) I would start to pay tax which would then be at 20% of all income over the 18,570? So, say for argument sake I was earning 14,000 in interest pa and 10,570 earnings = total 24,570 - so  6,000 is taxable at 20% so £1,200 tax. If I earnt 20,570 pa +my interest = 34,570 total income - 18570 = 16000 taxable at 20% so £3,200 tax.

refluxer

jaypers said:

How long do YBS withdrawals take? First one I’ve tried and nothing yet after a couple of hours. TIA. 

Faster payment withdrawals from YBS savings accounts tend to be 'by the end of the next day', according to their charges and timescales sheet. When I last withdrew from my Online Rainy Day account (around 8pm on a Thursday night), the funds arrived around 9am on the Friday morning.  

Snapdragon

jaypers said:

How long do YBS withdrawals take? First one I’ve tried and nothing yet after a couple of hours. TIA. 

By close of business next working day in my experience, so I'd expect some time Monday if you requested today.