Halifax Reward Account changing to £3 charge with “lifestyle rewards”

colsten

sparkiemalarkie said:

I haven't been able to get through on any of the phone numbers. The line just cuts off.
Any other ideas on how to register?
tia
sx

It seems to be a matter of trying, perhaps outside working hours. Someone who reported yesterday morning that they constantly got cut off confirmed in the evening that they were able to get through. It's an automated telephone service which might be overwhelmed by people rushing in to beat the deadline. 

Note that if you miss the deadline, all shouldn't be lost, as I am sure you could just upgrade to Reward again if your account got downgraded.

sparkiemalarkie

soulsaver said:

sparkiemalarkie said:

I haven't been able to get through on any of the phone numbers. The line just cuts off.
Any other ideas on how to register?
tia
sx

I got through no prob at 00:45 last night (well, technically this morning) ...

Just curios ... did you speak to someone or was it automated?
sx

colsten

sparkiemalarkie said:

Just curios ... did you speak to someone or was it automated?

It's always been automated, from day one.

soulsaver

colsten said:

sparkiemalarkie said:

Just curios ... did you speak to someone or was it automated?

It's always been automated, from day one.

They didn't have phones then...  

purplestar133

colsten said:

purplestar133 said:

Really you would need to leave more than £5000 in to take account of DDs etc unless you want to top up your balance every day wouldn't you?

There is no DD requirement in the new scheme. Thus a steady £5k would suffice.

Thank you. I meant that bills and DDs will be coming out of this account as this is my main account so the balance would fluctuate.

colsten said:

However, as long as there are 1.2% savings accounts, there seems little point in faffing about with a Reward account for the equivalent of 1.2% interest. You might as well put your money into a Marcus or RCI account, who will pay you interest on whatever your balance is. As and if they drop their interest rates, you can still consider upgrading to a Reward account at that time

I see. I'll have a look at the options.

colsten said:

And could I decide at that point to switch to a normal current account? 

They haven't explicitly said that you can change from a Reward to a standard account any time you like, but I would think it is possible. In any case, you could switch, or otherwise close, a Reward account any time you like.

It's just the way it says you can't change your reward once you have decided that makes me think you're stuck, but of course, you're right, I could switch or close. It would take a little time though so might incur the £3 charge. Like you say, if there are other accounts paying equivalent interest, probably easier to go there. Thank you for your help!

General_Grant

colsten said:

purplestar133 said:

Really you would need to leave more than £5000 in to take account of DDs etc unless you want to top up your balance every day wouldn't you?

(1)  There is no DD requirement in the new scheme. Thus a steady £5k would suffice. However, as long as there are 1.2% savings accounts, there seems little point in faffing about with a Reward account for the equivalent of (2) 1.2% interest. You might as well put your money into a Marcus or RCI account, who will pay you interest on whatever your balance is. As and if they drop their interest rates, you can still consider upgrading to a Reward account at that time.

And could I decide at that point to switch to a normal current account? 

They haven't explicitly said that you can change from a Reward to a standard account any time you like, but I would think it is possible. In any case, you could switch, or otherwise close, a Reward account any time you like.

(1)  Though the terms of the current account do not require DDs, it may be that some of us would actually be using the account as a normal account rather than just a savings account and therefore it is important to remember such debits.
(2)  But that 1.2% calculation is after the deduction of tax from the gross monthly sum of £6.25 interest in other savings where we effectively have 20% tax deducted by HMRC.  I therefore prefer to look at it as being 1.5% interest.  If I receive 1.35% gross from Marcus (for the time being) that is 1.08% after the tax has been deducted.  It all depends on ones own income tax situation.

TempUsername03052020

For those struggling with the automated numbers, i just called 0345 129 9744 and got through straight away.

Signed up in under 3 mins and all done now

badger09

purplestar133 said:

colsten said:

purplestar133 said:

Really you would need to leave more than £5000 in to take account of DDs etc unless you want to top up your balance every day wouldn't you?

There is no DD requirement in the new scheme. Thus a steady £5k would suffice.

Thank you. I meant that bills and DDs will be coming out of this account as this is my main account so the balance would fluctuate.

colsten said:

However, as long as there are 1.2% savings accounts, there seems little point in faffing about with a Reward account for the equivalent of 1.2% interest. You might as well put your money into a Marcus or RCI account, who will pay you interest on whatever your balance is. As and if they drop their interest rates, you can still consider upgrading to a Reward account at that time

I see. I'll have a look at the options.

colsten said:

And could I decide at that point to switch to a normal current account? 

They haven't explicitly said that you can change from a Reward to a standard account any time you like, but I would think it is possible. In any case, you could switch, or otherwise close, a Reward account any time you like.

It's just the way it says you can't change your reward once you have decided that makes me think you're stuck, but of course, you're right, I could switch or close. It would take a little time though so might incur the £3 charge. Like you say, if there are other accounts paying equivalent interest, probably easier to go there. Thank you for your help! 


Don't know what's happened but this is my response:
You're  mixing up 2 different parts of the new T&Cs.

Assuming you choose to upgrade to the new Rewards account you have to:
1) choose which reward you want - a 'Lifestyle Benefit' OR £5 per month for keeping £5k balance all the time OR £5 per month for spending £500 per month on your debit card. Once you've chosen, you can't change your mind for at least 12 months
2) pay in £1500 per month to avoid the £3 per month charge

If you choose the £5k balance but only have say £4000 in for part of a month, you'll miss out on your £5 reward for that month. 
If you forget to pay in £1500, but have kept £5k balance for the whole month, you'll get your £5 reward, but it will cost you a £3 fee.

TOP_CAT

The best option imo seems to be if your going to jump through the hoops with all the new carry on you may as well get a fiver for doing so even if takes abit of  work and getting used too it all at first.
Im sure it will get easier to find new ways to spend the £500 on a card as time passes so thats going to be my choice until I find it isnt so .
In the meantime  if you fund the monthly £1500 in and out you will avoid the £3 monthly fee and buy time to get used too doing  all the 500 spending  successfully one way or another .

YorkshireBoy

I'm still slightly undecided on this one. With 4 Reward accounts I'm thinking of going half and half.

Reward 1 is my main account and receives my salary (covering the £1500). Because the balance fluctuates wildly throughout the month I'm thinking of going the £500 DC route and chancing my arm with an old Egg Savings account, S&S ISA and pension payments.
Reward 2 I'll do the same as Reward 1 with regard to payments.

With Reward accounts 3 & 4 I'll dump £5K in each, but may wait until my my Marcus rate drops in a couple of months or so. I'm hedging my bets a little here in case my current regular saver funding hub - Club Lloyds - drops the rate...in which case I'll move the SOs to one or both of these Reward accounts. Should just be a last day of the month top up prior to all 1st of month reg saver SOs leaving.

Funding for all will continue as is, internally from Reward 1 on payday, with the amount raised as necessary.

Can anyone see a flaw in this logic?