Ulster Bank Loyalty Saver Interest Questions

MikhailCompo

Hi
I know that this account pays out interest annually (apparently 1st January?).

My two questions are, if I take all my money out in June, will I receive the interest from January to June?

Also, I received a statement stating "The interest rate that actually applies depends on the amount deposited in your account at the time". I know that the interest rate is 5.2% but only over £5000.

When I first opened the account, I made 4 transfers and all were under £5000

Does that mean that for all 4 of those transfers (totally £9000) I will receive the lower rate of 2.25%? If so, how do I ensure I get 5.2% on the total amount?

Thank you for help.

eskbanker

The interest is paid according to the total daily balance, not individual deposits, and if closed early you'd be paid everything that had accrued up to that point.

ColdIron

MikhailCompo said:

Hi
I know that this account pays out interest annually (apparently 1st January?).

My two questions are, if I take all my money out in June, will I receive the interest from January to June?

No. However if you close the account you will

When I first opened the account, I made 4 transfers and all were under £5000

Does that mean that for all 4 of those transfers (totally £9000) I will receive the lower rate of 2.25%?

You don't get interest for transfers, only on the account balance. So when one of the transfers takes you over £5,000 you will receive 5.20% on the balance

If so, how do I ensure I get 5.2% on the total amount?

Keep the balance at or above £5,000

MikhailCompo

I want to close this account.

The advice above is that I will only receive the accrued interest by closing the account.

When going through the process to close the account it says I must tlhaveba zero balance and therefore have to transfer the money out of the account.

But then I will not receive the interest....

How can I receive the interest accrued so far and close this account?

eskbanker

Perhaps worth reading through another recent thread discussing the process, in response to someone else asking the same question:

https://forums.moneysavingexpert.com/discussion/6560544/ulsterbank-loyalty-saver-where-does-the-interest-go-when-closing-account