Tesco Bank to cut current account interest from 3% to 1% - MSE News

[Deleted User]

enthusiasticsaver wrote: »

That is a shame. My two Tesco's current accounts are old ones so no funding in or direct debits. I have a Tesco internet paying 1.45% so I guess I will move the £6k there in June unless something else comes up.

My one Tesco Current Account is an old one with no £750 pay in or Direct Debits required monthly. I also have an Internet Saver paying about 1.42% for one year.

Do you think if I, temporarily until I can decide longer term, transfer most of my Current Account £3,000 after 14 June into the Internet Saver, that would be allowed?
Would it be possible, if allowed, to close or switch the Tesco Current Account and still be able to keep the Tesco Internet Saver for as long as the 1.42% rate lasts?
I suspect it may not be possible to have only a Tesco Internet Saver without also having a Tesco Current Account.

At present I usually transfer the £7 monthly interest from Current Account to Internet Saver.

Thank you.

Crimson

BoGoF

Deleted_User wrote: »

My one Tesco Current Account is an old one with no £750 pay in or Direct Debits required monthly. I also have an Internet Saver paying about 1.42% for one year.

Do you think if I, temporarily until I can decide longer term, transfer most of my Current Account £3,000 after 14 June into the Internet Saver, that would be allowed?
Would it be possible, if allowed, to close or switch the Tesco Current Account and still be able to keep the Tesco Internet Saver for as long as the 1.42% rate lasts?
I suspect it may not be possible to have only a Tesco Internet Saver without also having a Tesco Current Account.

At present I usually transfer the £7 monthly interest from Current Account to Internet Saver.

Thank you.

Crimson

Yes you can have the internet saver without a Tesco current account.

Zero_Sum

PRAISETHESUN wrote: »

Was expecting this to happen at some point. I wonder how many people will now be using Tesco current accounts for switching incentives...

Most people dont bother playing the bank account game. In the grand scheme of things there'll be very few who just keep £3k to get interest who'll then cash out. Its not too disimilar to people on here shifting money from Santander once Marcus came along (even though Santander wasnt that great in the 1st place once you factor in fees). Santander havent get come back with an improved offer.

aj23_2

Thought this might happen, however I expected it down to 2% or 1.5%, not 1%.

Won't really be worth keeping anymore. I'll keep £100 in it to get points for fuel and shopping but will move the rest elsewhere in June.

I won't close it because I was one of the early lucky ones who opened prior to the restrictions placed on the account, so I have no DD requirement or monthly pay-in to meet.

[Deleted User]

Thank you BoGoF #43. I know it is not a lot of interest but it is really good to be able to transfer all, or most of, the Current Account funds to the Internet Saver in June and have 1.42% for a limited time.

I'm grateful to have received £7 every month all this time. I appreciate your reply.

Crimson

colsten

I got my letters from Tesco. I would get the 1% up the £3K without any conditions attached, i.e. no DDs and no monthly min deposits, as my accounts are the old ones. I won't be making use of the 1% as there are plenty of places that pay me more.

Nick_C

aj23 wrote: »

Won't really be worth keeping anymore. I'll keep £100 in it to get points for fuel and shopping but will move the rest elsewhere in June.

If you have an overdraft facility, then you can keep a zero balance and just top up the next day to match any debit card spending.

aj23_2

Nick_C wrote: »

If you have an overdraft facility, then you can keep a zero balance and just top up the next day to match any debit card spending.

I don't take out overdrafts on accounts. Even if I did, I wouldn't make use of this method.

latinaid

superlative wrote: »

Hmm, I have one of the 'old' accounts that pays 3% without needing me to pay in any minimum or have any direct debits. I wonder if this applies to this account too? I guess I'll wait and see what letter I get...

I have the same account, and I got the letter this morning.

Nick_C

aj23 wrote: »

I don't take out overdrafts on accounts. Even if I did, I wouldn't make use of this method.

Fair enough, but others might!