Switching bank accounts and savings

[Deleted User]

I looked everywhere for the answer but can't find it. So, say I have savings accounts in bank X that were funded by my current account in bank A (i.e. my nominated account). I then switch my current account from bank A to bank B... what happens when I want to withdraw my savings?

I was wondering about this because a while ago I made an error and tried to fund a savings account with another account that was not my nominated one. The transaction was reversed, as you'd expect, but in doing the transfer I'd emptied and closed my funding account. When I asked how I could get the money returned to another account (e.g. by proving that was owned by me also) I was told categorically and under no circumstances could a withdrawal or refund be paid out to an account that is not the nominated account. Luckily my old bank re-opened my account, but I was told that if they had not, there was no way I could have received the refund.

Does anyone know about this?

eskbanker

[Deleted User] said:

I looked everywhere for the answer but can't find it. So, say I have savings accounts in bank X that were funded by my current account in bank A (i.e. my nominated account). I then switch my current account from bank A to bank B... what happens when I want to withdraw my savings?

The best bet would be to change your nominated account as recorded at the bank X, so it refers to B instead of A, before doing the switch - what happens if you fail to do so will be determined by X's policies (HSBC, for example, insist on the nominated account being with them, for at least some of their savings products) but prevention will beat cure every time!

[Deleted User]

eskbanker said:

[Deleted User] said:

I looked everywhere for the answer but can't find it. So, say I have savings accounts in bank X that were funded by my current account in bank A (i.e. my nominated account). I then switch my current account from bank A to bank B... what happens when I want to withdraw my savings?

The best bet would be to change your nominated account as recorded at the bank X, so it refers to B instead of A, before doing the switch - what happens if you fail to do so will be determined by X's policies (HSBC, for example, insist on the nominated account being with them, for at least some of their savings products) but prevention will beat cure every time!

Yeah, I think the issue with my situation is that the transfer happened before the change, so I couldn't retrofit the change. I guess if you do it the right way around things would be simpler. Thanks.

dealyboy

Welcome ViewENE 

Is this savings account Marcus by any chance ...
https://forums.moneysavingexpert.com/discussion/comment/80019334/#Comment_80019334

wmb194

If it's a CASS switch won't the withdrawal from a third party bank/BS to A be captured by the payments system sitting between the banks and then be forwarded to B?

Band7

Don‘t switch your existing account. Create a donor account or two for switching.

dealyboy

wmb194 said:

If it's a CASS switch won't the withdrawal from a third party bank/BS to A be captured by the payments system sitting between the banks and then be forwarded to B?

In the case of Marcus ... the 'linked account' will not change until a withdrawal is made post CASS switch, they recommend a £1 withdrawal post switch, which will be diverted to bank B, so that they receive verification of the new account and the linked account will then change.

A deposit will be bounced until this has happened or the customer has changed the linked account (needs an upload of a statement for the new account).

[Deleted User]

dealyboy said:

Welcome ViewENE 

Is this savings account Marcus by any chance ...
https://forums.moneysavingexpert.com/discussion/comment/80019334/#Comment_80019334

It wasn't, no. Can't recall which bank it was TBH, I tend to change at least once a year to get the best interest rates (seeing as few of them value loyalty).