Lloyds/Bank of Scotland/Halifax regular/monthly saver limits

Sea_Shell

Just to confirm that I've just set up a direct withdrawal from BOS Reg Saver to an external account, and it worked.

iwblue

I had a live chat with lloyds tonight....I was told I would get a reduced interest rate if I closed my rs early? 

ForumUser7

iwblue said:

I had a live chat with lloyds tonight....I was told I would get a reduced interest rate if I closed my rs early? 

What is the rate of your current issue?

You should get the interest accrued on your balance as calculated daily. Perhaps they mean you won’t get the amount in the interest projections as they assume based on the account being open for the full term and set amount being paid in each month.

I think you’ve likely been misinformed - if you want confirmation from Lloyds themselves, maybe contact Lloyds through a different method and speak with a different agent.

Also, don’t close it - renew it yourself on online banking so you can open the new higher rate issue if you want

flaneurs_lobster

ForumUser7 said:

iwblue said:

I had a live chat with lloyds tonight....I was told I would get a reduced interest rate if I closed my rs early? 

What is the rate of your current issue?

You should get the interest accrued on your balance as calculated daily. Perhaps they mean you won’t get the amount in the interest projections as they assume based on the account being open for the full term and set amount being paid in each month.

I think you’ve likely been misinformed - if you want confirmation from Lloyds themselves, maybe contact Lloyds through a different method and speak with a different agent.

Also, don’t close it - renew it yourself on online banking so you can open the new higher rate issue if you want

What @ForumUser7 said.

I emptied a Lloyds 4.5% RS on Sunday, renewed it to an "ordinary" saver. The interest accrued since Nov 22 was paid on Monday into this account and was within pennies to what I had calculated it to be. Account emptied and closed.

Will probably open a new Lloyds RS at 5.25% and fund Newcastle BS tracker, if the thing ever manages to get itself opened.

dcs34

iwblue said:

I had a live chat with lloyds tonight....I was told I would get a reduced interest rate if I closed my rs early? 

Officially this is true if you apply for an account closure. The "renew to easy access account and then close" is not an official method. If you ask Lloyds about it they will at best deny it, and at worst close the loophole.

homestraight

Hi All
I assume that once the interest rates on the easy access accounts I use passes the 4.5% regular savers then it's a clear case to close those and open the higher rate regular savers? 
Anything other than rate to consider. 

My easy access saver rates have passed this relatively recently in now reviewing the situation. 
Thanks

ForumUser7

homestraight said:

Hi All
I assume that once the interest rates on the easy access accounts I use passes the 4.5% regular savers then it's a clear case to close those and open the higher rate regular savers? 
Anything other than rate to consider. 

My easy access saver rates have passed this relatively recently in now reviewing the situation. 
Thanks

Do not close them - make sure you follow the renewal procedure which I believe is posted earlier in this thread. If you close, BoS and Lloyds terms state you're not allowed to open a new one until the maturity date of the original one if it had been left to run its course. But the renewal procedure is a work around.

ForumUser7

dcs34 said:

iwblue said:

I had a live chat with lloyds tonight....I was told I would get a reduced interest rate if I closed my rs early? 

Officially this is true if you apply for an account closure. The "renew to easy access account and then close" is not an official method. If you ask Lloyds about it they will at best deny it, and at worst close the loophole.

@dcs34 The accounts allow penalty free closure. Certainly best to renew rather than close though. @iwblue asked if they would get a reduced interest rate if they closed their Lloyds RS early which is incorrect. They wouldn't get all the interest they would've got if they held the account for the full term, but they would still be paid interest at the advertised rate calculated on the daily balance of the account for the days they had it open, and the funds they had deposited in it.

homestraight

ForumUser7 said:

homestraight said:

Hi All
I assume that once the interest rates on the easy access accounts I use passes the 4.5% regular savers then it's a clear case to close those and open the higher rate regular savers? 
Anything other than rate to consider. 

My easy access saver rates have passed this relatively recently in now reviewing the situation. 
Thanks

Do not close them - make sure you follow the renewal procedure which I believe is posted earlier in this thread. If you close, BoS and Lloyds terms state you're not allowed to open a new one until the maturity date of the original one if it had been left to run its course. But the renewal procedure is a work around.

Thank you. I should've said 'renew' rather than close

ColdIron

ForumUser7 said:

homestraight said:

Hi All
I assume that once the interest rates on the easy access accounts I use passes the 4.5% regular savers then it's a clear case to close those and open the higher rate regular savers? 
Anything other than rate to consider. 

My easy access saver rates have passed this relatively recently in now reviewing the situation. 
Thanks

If you close, BoS and Lloyds terms state you're not allowed to open a new one until the maturity date of the original one if it had been left to run its course. But the renewal procedure is a work around.

Does the renew process work with Lloyds? I thought they enforced their conditions

It certainly does with Halifax and despite the T&Cs it also works with BoS as I did it in July

I'm happy to let my 5.25% Club Lloyds Monthly Saver run until October but would renew my 4.50% Lloyds Monthly Saver if I could