Marcus, Cynergy, Aldermore

kfsimpson

20SmthngSver wrote: »

I don't get asked by Marcus for an SMS or email code now, only the first time I logged in.

Re Marcus, the max. balance says £100,000.00, but surely this excludes interest?

FSCS limit for protection is currently £85000, so you shouldn't have more than this with any one bank/banking licence.

colsten

kfsimpson wrote: »

Sadly, problem not solved with a mobile 'phone which makes and receives calls and text messages, not a pocket computer! As I wrote, I feel a real dinosaur.

All dinosaurs would be allowed to acquire a cheap second hand "pocket computer". They might even find that said newfangled witchy tool opens up new avenues for them - such as giving them precise weather forecasts, tracking their activity, playing games, helping them navigate (on foot and by car), reminding them about birthdays anniversaries, appointments and when to take the food out of the freezer, taking photos, making their shopping lists etc etc etc.

20SmthngSver

kfsimpson wrote: »

FSCS limit for protection is currently £85000, so you shouldn't have more than this with any one bank/banking licence.

Okay, I know this, and it's not what I was asking at all.

I was asking whether interest payments count towards the maximum balance of £100,000.00. Presumably if you hold £100,000.00, you stand to get about £125 a month interest, which would take you over their balance limit.

Re: FSCS protection, a lot of people hold more than the protection at any one bank, and most banks and building societies have total limits of £500,000.00 and above to unlimited. Cynergy, I believe, offers 1.5% on up to ££1,000,000.00 on their savings account. Sainsbury's 1.39% on up to £2,000,000.00 on their savings account. There will be people out there with more than £85,000.00 held in order to benefit from the interest.

londoninvestor

kfsimpson wrote: »

Of course they have to implement PSD2

PSD2 does not apply to savings accounts where all you can do is transfer money to and from a linked account:
https://blogs.dlapiper.com/globalfinance/2018/10/08/ecj-ruling-on-interpretation-of-payment-account-under-psd2/

It may of course be that savings account providers choose to implement equivalent security, but that's their choice rather than a regulatory requirement.

ManAtHome

londoninvestor wrote: »

PSD2 does not apply to savings accounts where all you can do is transfer money to and from a linked account:

Thanks for that, can confirm Aldermore only accept transfers to/from a single linked account - I've had a payment in rejected for using an "unknown" account.

Haven't yet had any notification from them about changes for PSD2

colsten

20SmthngSver wrote: »

Re: FSCS protection, a lot of people hold more than the protection at any one bank

If that is true, then a lot of people are stupid.

20SmthngSver

colsten wrote: »

If that is true, then a lot of people are stupid.

Of course they do, and it's not stupid.

People that can afford to max out these savings accounts most likely have too much money to only hold £85,000.00 per financial institution. I'm sure you're aware that many have shared, whether it's with one, two or there, or even more than that, protection with other financial providers. They also most probably have enough money that if one went bust, they wouldn't miss the money lost either. £85,000.00 is the legal minimum that you're covered for, you could get more back if it's available.

And also, why so? Because of the interest that can be paid out on the maxed balance. Most are instant access and Faster Payments enable, so it's easy to move money easily and quickly at the slightest whiff of problems.

If you think people with hundreds of thousands or millions only keep £85k with any financial institution then you're seriously misguided. Businesses for a start will have far more than that in instant access current accounts for a start. Why? Because of something called cash flow; payables and receivables, having the money available to make big purchases in order to sell on to customers. A lot of people earn a lot of money and have a lot of money available in cash in a personal capacity, too.

But again, this is 100% not what I was asking in my OP.

colsten

20SmthngSver wrote: »

Of course they do, and it's not stupid.

It is very stupid for individuals to hold more than £85K (£170K in joint acct) in cash at a single financial institution for any length of time. A long-term cash balance does have its place as part of a balanced portfolio but even a million pound portfolio shouldn't need more than £85K in cash.

Businesses who are covered under FSCS and who don't heed the max FSCS limits could even risk going out of business if their account provider goes bellies up, so they'd be very stupid to ignore the limit.

Bottom line is that ignoring the FSCS limits is very stupid.

20SmthngSver

colsten wrote: »

It is very stupid for individuals to hold more than £85K (£170K in joint acct) in cash at a single financial institution for any length of time. A long-term cash balance does have its place as part of a balanced portfolio but even a million pound portfolio shouldn't need more than £85K in cash.

Businesses who are covered under FSCS and who don't heed the max FSCS limits could even risk going out of business if their account provider goes bellies up, so they'd be very stupid to ignore the limit.

Bottom line is that ignoring the FSCS limits is very stupid.

You keep missing the point. Lots of people have enough cash that they would need to hold more than that even if they had one account with every financial institution who offer protection. We live in a rich world. A lot of businesses have more than £85k in cash, it's ridiculous to suggest otherwise. They need hundreds of thousands to cover the cost of purchases, staff wages if employing a lot, pensions, rent, rates, etc. in order to support their cash flow.

You can have business savings accounts, but lots are fixed with no access. Businesses need access to cash. Only someone who runs a business would understand the requirement for this and realise it's unrealisctic for companies to not hold more than £85k at any one time. And quite the contrary, they could go under for not having enough cash throughout the month. Bottom line is, if you're employing as few as three or four people, with premises to rent and staff liabilites to pay, you can't run on only up to £85k. Bussiness need surplus cash ready and available for a whole host of reasons, often unforeseen. There's no point in me trying to explain when you don't understand how cash flow in relation to business solvency. Lack of solvency is the main cause of businesses folding, not banks going under. You only have to look on companies house to see how many keep more than the protection limit.

But, as I orignially asked, if Marcus has a a maximum balance of £100,000.00, does the £125 a month interest you'd earn count towards the maximum balance.

KukiNoki

Cynergy is doing good for me, a text pin to confirm when I have to take money out.