Virgin Money 12%

danny13579

I've done up a couple of tables. 

Table 1 is the maximum amount you should deposit on day 1 in your M+ current account if you want your interest to compound for the entire year.

Table 2 is how much you'll get in interest every month if you deposit £1,000 on day 1 in your M+ current account, which will not compound at all.

Assumptions: No deposits or withdrawals other than your initial deposit on day 1. Interest rate remains at 2.02% AER (2% gross) for the entire year.



EDIT: Please see my updated chart based on interest being paid on the last working day of each month, rather than by calendar month above.

35har1old

danny13579 said:

£1,000 put into a Chase Saver account from today for a year at the bonus rate of 5.1% AER for the first 6 months and 4.1% AER for the second 6 months would earn around £46 in interest.

£1,000 put into an Edge account from today (assuming you don't have one already) at 7% AER would earn around £70 in interest.

So £120 in an M+ account seems pretty OK to me. And if interest rates fall later in the year it will only affect the 2% part so you're guaranteed at least £100 worst case scenario.

There's no guarantee that the Chase account will be paying 5.1 % as it is a tracker account 

35har1old

35har1old said:

danny13579 said:

£1,000 put into a Chase Saver account from today for a year at the bonus rate of 5.1% AER for the first 6 months and 4.1% AER for the second 6 months would earn around £46 in interest.

£1,000 put into an Edge account from today (assuming you don't have one already) at 7% AER would earn around £70 in interest.

So £120 in an M+ account seems pretty OK to me. And if interest rates fall later in the year it will only affect the 2% part so you're guaranteed at least £100 worst case scenario.

There's no guarantee that the Chase account will be paying 5.1 % as it is a tracker account 

Can you still get the boosted  account

Bazzalona13295

Here is a seemingly unrelated question for you, if I were to take up this switch offer today or tomorrow, would this flag up if I have a meeting with the 'old' bank?

Relevant as I'm doing a financial check (branch visit then zoom call) with Nat West tomorrow and am getting paid to do it.

Don't see an issue tbh but just wondered.

flaneurs_lobster

Bazzalona13295 said:

Here is a seemingly unrelated question for you, if I were to take up this switch offer today or tomorrow, would this flag up if I have a meeting with the 'old' bank?

Relevant as I'm doing a financial check (branch visit then zoom call) with Nat West tomorrow and am getting paid to do it.

Don't see an issue tbh but just wondered.

Can't answer your question but I'm intrigued by the idea of being paid to undergo (endure?) a "financial health check".

I've always declined invitations to such, assuming it's just a sell job of their various savings/investment/insurance/loan products. But if they wanted to pay me....

Do you have more details?

FIREmenow

Switched away from VM in the recent round of switches so will get in on this, just need to move 2 DDs to a current account I'm willing to move. 

Do all the main banks count PayPal direct debit mandates as an eligible DD in switch offers? 

danny13579

35har1old said:

danny13579 said:

£1,000 put into a Chase Saver account from today for a year at the bonus rate of 5.1% AER for the first 6 months and 4.1% AER for the second 6 months would earn around £46 in interest.

£1,000 put into an Edge account from today (assuming you don't have one already) at 7% AER would earn around £70 in interest.

So £120 in an M+ account seems pretty OK to me. And if interest rates fall later in the year it will only affect the 2% part so you're guaranteed at least £100 worst case scenario.

There's no guarantee that the Chase account will be paying 5.1 % as it is a tracker account 

It will be tracked with the BOE base rate from 13th May, right now it isn't - though their current rate of 4.1% is 1.15% below the BOE rate which is what it will be once it begins tracking.

These rates are all variable. These are all on the assumption that the interest rate doesn't change (like the example calculations the banks provide on their websites when they say how much £1,000 will earn over a year). They probably will lower over the remainder of this year. 

35har1old said:

Can you still get the boosted  account

Yes, it's available until 4th November. Though I don't think it's available to everyone. I received an invite from Chase to open one at that rate.

WillPS

FIREmenow said:

Do all the main banks count PayPal direct debit mandates as an eligible DD in switch offers? 

Yep, no bank has to my knowledge ever excluded PayPal DDs in any offer terms. The only DD exclusions have been to savings accounts with the same banking group - Tesco Bank used to exclude Tesco savings DDs for example, and weirdly Santander excludes savings DDs from Cahoot and Cater Allen but I'm pretty sure these aren't even a thing.

I did once have a Nationwide call handler try palm off the fact I'd not had a bonus on the fact the DDs I'd switched 'wouldn't count' but a complaint soon saw that off.

Bazzalona13295

flaneurs_lobster said:

Bazzalona13295 said:

Here is a seemingly unrelated question for you, if I were to take up this switch offer today or tomorrow, would this flag up if I have a meeting with the 'old' bank?

Relevant as I'm doing a financial check (branch visit then zoom call) with Nat West tomorrow and am getting paid to do it.

Don't see an issue tbh but just wondered.

Can't answer your question but I'm intrigued by the idea of being paid to undergo (endure?) a "financial health check".

I've always declined invitations to such, assuming it's just a sell job of their various savings/investment/insurance/loan products. But if they wanted to pay me....

Do you have more details?

Mystery shop. Quite a few banks do this.

Emily_Joy

I vaguely recall someone mentioning Yorkshire bank did a traditional switching offer at one stage though.

Yorkshire bank had £250 traditional switching offer at some point in 2017 - 2018.