Employer paying salary direct into a savings account?

MilesT6060842

Is it possible to get salary paid directly into a easy access or limited withdrawals savings account, and then periodically transfer money to cover bills into a normal current account (e.g. once a month)?

I'd like to make my savings more automatic and earn interest from payday rather than having a standing order for savings set up a few days after payday (just in case payday is late for dumb reason, and the date does vary a little each month).

Is there an easy to use list which shows the accounts that accept BACS from employers rather than from my own current account, to select one that has good rates and good service?

I have other longer term savings (mostly funded by lump sums received by inheritance).

Online is fine, less keen on apps.  Local branch not a requirement.

retiredbanker1

Most everyday savings accounts will accept BACS wages into them.
The ones that won't will be Fixed Term and Regular Savings - be careful with ISA's that your income for the tax year does not go above the threshold of £20k or any further credits will be rejected.

penners324

Marcus and Chip won't accept payments like that.

mab3000

You could always have your salary paid into an interest paying current account paying a good interest rate like Kroo and do what you are looking to do, which solves the issue of knowing if a particular savings account accepts salary payments 

xylophone

Someone I know has the occupational pension paid into a savings account with Yorkshire BS so I see no reason why a salary could not be treated likewise.

You could check.

https://www.ybs.co.uk/savings/product?id=YB681671W

miller

I vaguely remember something from Nationwide saying you can't do this (it was a change to T&Cs), but I'm not 100% certain. The OP said they wanted a good rate, so probably not an issue.

MilesT6060842

miller said:

I vaguely remember something from Nationwide saying you can't do this (it was a change to T&Cs), but I'm not 100% certain. The OP said they wanted a good rate, so probably not an issue.

It seems to be the case that some will, some won't; useful to have pointers of the ones to avoid to same time researching each account.  Indeed interest bearing current accounts also possible (but I am not looking to switch my main account;  currently have an offset mortgage linked to the account that I plan to pay down to minimum or pay off soon--if I pay it off then I am likely to need to pay someone for safe custody of the deeds, but that's another post).

mab3000

MilesT6060842 said:

It seems to be the case that some will, some won't; useful to have pointers of the ones to avoid to same time researching each account.  Indeed interest bearing current accounts also possible (but I am not looking to switch my main account;  currently have an offset mortgage linked to the account that I plan to pay down to minimum or pay off soon--if I pay it off then I am likely to need to pay someone for safe custody of the deeds, but that's another post).

You wouldn’t need to switch your main account. All you’d be doing is opening a separate account like you are intending to have your salary paid into, it’ll just be a current rather than a savings account. 

pridehappy

It's much easier to still continue to pay them into your main current account - then you can setup a standing order to directly save amounts each month or manually make transfers. Theoretically, it is possible with some banks/building societies, but not the most convenient. 

BarGin

I have my state pension paid into a Chase savings account and a private pension paid into my Kroo interest paying current account. Not had any problems.