Drip feeding into Regular savers VS staying in fixed term accounts

poolboy

I have 23 rsa s in place earning the min 5.25%.  It probably takes me an hour a month to manage, my avg rsa is 6.5%, v easy access 5.2%, so 50k x 1.3% = 650 gbp /12 hours = 50 odd quid pH.

I am a lot quicker now, I set up the virgin 10percenter is about 10 mins.

As interest rates drop I have been transferring to fixes, the progressive 5.2 has been a good home.

Good luck all, had some fab advice on here

subjecttocontract

I'd be interested to know what takes you an hour a month ?
I have a few regular savers, all funded by standing order, management time per month = 0

ironik

Exodi said:

Manchester2024 said:

The reason I say that is that it seems like a bit of a faff to jump through the hoops of setting up a current account with Virgin (10%) and First Direct (7%) for example, to access their regular savers, when the maximum that can be saved is £250-£300 and using the MSE savings calculator, it’s only around £150-200 per year. I’m not even sure about the current 7% regular saver accounts, which you don’t have to have a current accounted connected to. 

I know I could in theory set up a few regular savers but my question is.. is it worth that time and effort of keeping a check on the best rates across multiple accounts etc, or just keep all my savings in the current 5.02% notice account?

Thanks!

Well if you opened a Virgin account when it was announced and deposited the maximum £250 each month, you'd have a projected balance of £3,162.40 (of which £162.40 is interest). If you left the the money in your notice account paying 5.02%, you'd earn £82.84 on the same money (which shouldn't be surprising as the interest rate is about half). The question is, is all the 'faff' worth it to you for £80?

I am trying to understand the numbers here. If you have £3000 already in an account paying 5.02% I calculate that you will get £151.00 interest over the 12 months.

ColdIron

Play with the MSE RS Calculator, use the Drip Feed option

https://www.moneysavingexpert.com/savings/regular-savings-calculator

Your Results

Drip-feeding the regular saver

After drip-feeding the cash for 12 months, you'd have earned...

£230 in interest
£160 from the regular saver + £70 from the normal savings account

Leaving it in normal savings

If you'd kept the cash in normal savings without drip-feeding it, you'd have earned...
£148 in interest

jameseonline

If you have a Cahoot Sunny Day Saver, max that at £3000 @ 5.08% monthly take money out of that to fund regular savings accounts that should be good right?

Or what about maxing out a Edge Saver at £4000 paying monthly to fund an account paying more than 6% ?

I'm sure there's other ways to do things but yeah.