Timing for Lloyds monthly club saver

flaneurs_lobster

Ballard said:

I’m not against doing this, but you’d also need to factor in loss of interest from the funding account (as you do for the whole of the RS balance). I earn 3.8% in an ISA, and I’m sure that there are bigger payers out there, so the gain for me to do this is more like £8.66. Better than nothing, but I wouldn’t bother. 

....except that this could be one of 30+ regular savers, all utilising the same "trick". Not going to do the sums but its a significant gain.

Section62

Yorkie1 said:

Yorkie1 said:

Fantatsic, thanks everyone. Guess what I'm doing this evening ... !

And success

Did they credit your first payment with a statement date of 28/11, or is it 01/12?

I made my first payment on the 29th, which has been given a statement date of 01/12 (although done by internal transfer and showing as cleared funds on the 29th)... which now means the system is refusing to allow me to make a deposit in December.

The Lloyds CS rep tried to use the 25th as an absolute cut-off, that anything after would always be treated as a December payment.  Also claimed that an account opened over the weekend of 29/30 November wouldn't be open and earning interest until 1st December, even if shown as open and funded in online banking on the 29th.

flaneurs_lobster

Section62 said:

Yorkie1 said:

Yorkie1 said:

Fantatsic, thanks everyone. Guess what I'm doing this evening ... !

And success

Did they credit your first payment with a statement date of 28/11, or is it 01/12?

I made my first payment on the 29th, which has been given a statement date of 01/12 (although done by internal transfer and showing as cleared funds on the 29th)... which now means the system is refusing to allow me to make a deposit in December.

The Lloyds CS rep tried to use the 25th as an absolute cut-off, that anything after would always be treated as a December payment.  Also claimed that an account opened over the weekend of 29/30 November wouldn't be open and earning interest until 1st December, even if shown as open and funded in online banking on the 29th.

You know that bit above, where I said you could pay in on the last day of the month and the first day of the next month?

Should have qualified that a bit more......weekends excepted.

Notepad_Phil

flaneurs_lobster said:

Section62 said:

Yorkie1 said:

Yorkie1 said:

Fantatsic, thanks everyone. Guess what I'm doing this evening ... !

And success

Did they credit your first payment with a statement date of 28/11, or is it 01/12?

I made my first payment on the 29th, which has been given a statement date of 01/12 (although done by internal transfer and showing as cleared funds on the 29th)... which now means the system is refusing to allow me to make a deposit in December.

The Lloyds CS rep tried to use the 25th as an absolute cut-off, that anything after would always be treated as a December payment.  Also claimed that an account opened over the weekend of 29/30 November wouldn't be open and earning interest until 1st December, even if shown as open and funded in online banking on the 29th.

You know that bit above, where I said you could pay in on the last day of the month and the first day of the next month?

Should have qualified that a bit more......weekends excepted.

And bank holidays if memory serves me right.

Section62

flaneurs_lobster said:

Section62 said:

Yorkie1 said:

....

The Lloyds CS rep tried to use the 25th as an absolute cut-off, that anything after would always be treated as a December payment....

You know that bit above, where I said you could pay in on the last day of the month and the first day of the next month?

Should have qualified that a bit more......weekends excepted.

The key bit though was the assertion that anything after the 25th would always be considered a payment in the following month.  That was a significant departure from what we've always assumed about the date being more for guidance than a rule.

pochisoldi

With "normal" regular saver accounts*, you pay the money in as soon as you can - on the 1st of the month.
If the first happens to fall on Good Friday, it doesn't matter - the money will still go into the account in the month intended (Good Friday on the 1st means the money goes in on Tuesday 5th).

The only hassle with opening regular savers towards the end of the month is when it comes to maturity and opening another account, where you can end up being unable to open the new account by the end of the month.

From my experience
Nationwide regular saver matures on the 25th, they credit the interest on the 26th, but won't let you open a new account (because the system still thinks you have a flex regular saver) until the 27th. If you want to pay money in directly from outside Nationwide, confirmation of payee won't be possible until the 28th. If any of those days fall on the weekend or a bank holiday, you plans may be stymied.

TSB regular saver - wouldn't let me make the first payment in on the first day of opening - ended up being the next day.

Once those issues are overcome, the accounts get funded on the 1st of the month or the first working day thereafter. (normally funded from incoming wages which land on the last working day of the month, so no interest from the "funding" account).

* By "Normal" regular savings accounts, I mean those which accept £X per calendar month, without reference to the account opening date.

Yorkie1

Section62 said:

Yorkie1 said:

Yorkie1 said:

Fantatsic, thanks everyone. Guess what I'm doing this evening ... !

And success

Did they credit your first payment with a statement date of 28/11, or is it 01/12?

I made my first payment on the 29th, which has been given a statement date of 01/12 (although done by internal transfer and showing as cleared funds on the 29th)... which now means the system is refusing to allow me to make a deposit in December.

The Lloyds CS rep tried to use the 25th as an absolute cut-off, that anything after would always be treated as a December payment.  Also claimed that an account opened over the weekend of 29/30 November wouldn't be open and earning interest until 1st December, even if shown as open and funded in online banking on the 29th.

Just looking at the App, it credited it on the 28th (this was a manual transfer late on the Friday) and then again with a standing order on 1 Dec (Monday).

I've once had a second payment in a calendar month returned to the sending account (when I forgot I'd done a manual transfer earlier). That hasn't happened this month (I assume it would have happened already if it was going to happen).

Section62

Yorkie1 said:

Section62 said:

Yorkie1 said:

Yorkie1 said:

Fantatsic, thanks everyone. Guess what I'm doing this evening ... !

And success

Did they credit your first payment with a statement date of 28/11, or is it 01/12?

I made my first payment on the 29th, which has been given a statement date of 01/12 (although done by internal transfer and showing as cleared funds on the 29th)... which now means the system is refusing to allow me to make a deposit in December.

The Lloyds CS rep tried to use the 25th as an absolute cut-off, that anything after would always be treated as a December payment.  Also claimed that an account opened over the weekend of 29/30 November wouldn't be open and earning interest until 1st December, even if shown as open and funded in online banking on the 29th.

Just looking at the App, it credited it on the 28th (this was a manual transfer late on the Friday) and then again with a standing order on 1 Dec (Monday).

I've once had a second payment in a calendar month returned to the sending account (when I forgot I'd done a manual transfer earlier). That hasn't happened this month (I assume it would have happened already if it was going to happen).

Thanks Yorkie1... so it looks Ok if you make the payment late on the last working day.

surreysaver

retiredbanker1 said:

£400 at 6.25% for 2 days = 1.3 pence.

So if you do it will not change your life!

It's not the first £400, as the first £400 will always be in the account for a year regardless of which day of the month you pay it in (assuming you pay it in on the day you open the account).
Each subsequent £400 after that will be in the account for almost a month longer, so it's 6.25% on an extra £400 for practically a year