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Steve_xx

colsten wrote: »

and the T&Cs are wrong , too? Is that what you are saying?

Yes they are incorrect.

Jsscmm

colsten wrote: »

The terms and conditions.

Also the resident Lloyds Rep has said in one of the threads some time ago it must be SO.

But why would anyone be concerned about 1 day's interest @ 4% on £400? You'd probably make more if you went down the High Street tonight looking for money people dropped

About 4p if my maths is correct. Whilst I would advocate starting late one month and then moving the SO to the first of next month and leaving it there, even I'm not going to panic over that amount of money.

Steve_xx

Jsscmm wrote: »

About 4p if my maths is correct. Whilst I would advocate starting late one month and then moving the SO to the first of next month and leaving it there, even I'm not going to panic over that amount of money.

If you start it this month and then change the payment date to the start of the following months (say between 1st - 5th) you may find that come April 2016 that your interest is paid nett. Whereas if you set the payment date after 6th of the month then your interest should be paid gross because of the new rules that come into effect NEXT April regarding interest taxation on the first 1k of interest.

Jsscmm

Steve_xx wrote: »

If you start it this month and then change the payment date to the start of the following months (say between 1st - 5th) you may find that come April 2016 that your interest is paid nett. Whereas if you set the payment date after 6th of the month then your interest should be paid gross because of the new rules that come into effect NEXT April regarding interest taxation on the first 1k of interest.

As I'm not logged onto lloyds online atm I can't confirm my previous account but I do know that having thirteen payments like this does work. The precise date of the account closing should be 12 months after opening otherwise the interest calculation would be off. So any account opened today should 'expire' in the next tax year irrespective of any moves in the SO date.

Steve_xx

Jsscmm wrote: »

As I'm not logged onto lloyds online atm I can't confirm my previous account but I do know that having thirteen payments like this does work. The precise date of the account closing should be 12 months after opening otherwise the interest calculation would be off. So any account opened today should 'expire' in the next tax year irrespective of any moves in the SO date.

Yes, you're right.

colsten

Steve_xx wrote: »

Yes they are incorrect.

That's good to know, thanks.

Though I'd rather stick with SOs as if they enforce the T&Cs they don't need to tell you, and I wouldn't want to find out at the end of 12 months that I was feeding £400 a month into a 0% account.

It's not hard to do SOs, I am sure you will agree. There are times to outsmart banks but this isn't one of them, I am sure you will agree.

Steve_xx

colsten wrote: »

That's good to know, thanks.

Though I'd rather stick with SOs as if they enforce the T&Cs they don't need to tell you, and I wouldn't want to find out at the end of 12 months that I was feeding £400 a month into a 0% account.

It's not hard to do SOs, I am sure you will agree. There are times to outsmart banks but this isn't one of them, I am sure you will agree.

I opened one this month and made the first payment into it by Faster Payment. The money is there and it does say FPI on the account.

On last years I can see that all the payments also say FPI, although they went in by SO.

So it seems that Lloyds may not necessarily know how the payments are being sent to them?

YorkshireBoy

Steve_xx wrote: »

So it seems that Lloyds may not necessarily know how the payments are being sent to them?

According to the Lloyds Rep in the thread referred above they do know if it was a standing order or not.

Seem to remember Tesco being a potential problem though, because they send SO payments on a weekend when, as you'll no doubt know, SOs don't work.

So quite how Lloyds would know the payment instruction started out life as an SO I don't know!

colsten

Steve_xx wrote: »

I opened one this month and made the first payment into it by Faster Payment. The money is there and it does say FPI on the account.

On last years I can see that all the payments also say FPI, although they went in by SO.

So it seems that Lloyds may not necessarily know how the payments are being sent to them?

I don't doubt it worked for you in the past, and there's a good chance it might work in the future. Just saying that it seems unnecessary to chance a year's worth of interest to have a 21st century duel with a bank over who knows best. The T&Cs are clear, SOs are easy to set up, why risk it. It's some £103 before tax guaranteed in your pocket at the end of a year if you play by the T&Cs, and potentially nothing if you are out to prove you are bigger than the bank. Why not got for a jog instead.

Steve_xx

colsten wrote: »

I don't doubt it worked for you in the past, and there's a good chance it might work in the future. Just saying that it seems unnecessary to chance a year's worth of interest to have a 21st century duel with a bank over who knows best. The T&Cs are clear, SOs are easy to set up, why risk it. It's some £103 before tax guaranteed in your pocket at the end of a year if you play by the T&Cs, and potentially nothing if you are out to prove you are bigger than the bank. Why not got for a jog instead.

Yes I take your points.

I have set up an SO for the remaining 11 payments, but made the first payment by FP. I just took a look at the old Lloyds Monthly Saver and compared it with this new one and the payments indicators on the old one look no different to the first payment I've made by FP on the new one.