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

apt

Polly05 wrote: »

There's nowhere else to go just now tho, is there? With a decent interest rate?

🙁

TSB 5% is likely to last longest as they need to gain customers, but that's only £1,500. If you have access to a Virgin Money branch keep opening their 3% regular savers. That's where the bulk of my money that used to be in high interest current accounts now is.

Birdman2015

We have 4 accounts between us at the moment. I will probably use some of that cash to pay off my 2.9% HP balance on my car.

Fingerbobs

In a funny way, I’m sort of relieved by this. I hope it spells the beginning of the end of having to keep little bits of money spread around loads of accounts.

aj23_2

Fingerbobs wrote: »

In a funny way, I’m sort of relieved by this. I hope it spells the beginning of the end of having to keep little bits of money spread around loads of accounts.

I don't think it will.

This has been the most stable account I've had. Literally put in £3000 in February 2017, and just left it to accrue interest. Has required no maintenance.

aj23_2

apt wrote: »

TSB 5% is likely to last longest as they need to gain customers, but that's only £1,500. If you have access to a Virgin Money branch keep opening their 3% regular savers. That's where the bulk of my money that used to be in high interest current accounts now is.

Better than having to hold £5,000 at Lloyds or Bank of Scotland at 1,5% for 50p more. TSB is a great one to have because you don't have to hold as much. Easier to keep an account above £1500 instead of £5000. Can use the different to fund Regular Savers.

aj23_2

I'm looking at buying at house end of next year so I think I'll put it in BLME for 18 months. 2.3%.

davidquizer

Switch to TSB, forget the bad press you only have to pay in £500 a month and you get 5% on the first £1500 in your current account, you also can have a regular monthly saver at 2% and a flexible savings account at .5%.

EachPenny

Zero_Sum wrote: »

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.

It depends whether you count this:-
Santander Refer a Friend
https://forums.moneysavingexpert.com/discussion/5966170/santander-refer-a-friend

Santander haven't offered a switching incentive for a very long time. It might be coincidence they have started this one a few months after Marcus bettered their 1.5% interest rate, or maybe not.

Fingerbobs

aj23 wrote: »

I don't think it will.

This has been the most stable account I've had. Literally put in £3000 in February 2017, and just left it to accrue interest. Has required no maintenance.

Yes same for me, but to be honest all of my current accounts, once set up, just 'tick over' with Standing Orders to meet any funding requirements and cream off the interest, and never require any intervention from me.
Only the Regular Savers need manual intervention when they mature.

Icesaver

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

I only had savings accounts with Tesco initially, but opened two current accounts when the 3% offer first came out, so unless their T&Cs have changed I see no reason why you can't just have savings with them