Switching banks. Anytime of month?

gerrard88

we looking at switching joint from halifax to santander. Is there a good time do thir or does it not matter?

our bills come out 22nd month. Some 1st of every month

Thanks

PRAISETHESUN

https://forums.moneysavingexpert.com/discussion/6673095/switching-banks-anytime-of-month

Your DD payments will be moved to your new account when you switch so it should be fairly seemless regardless of when you tell Santander to complete your switch. It could be worth selecting a switch date after the 1st just to rule out the possibility of something going awry for next month's bill but it ultimately really shouldn't matter.

jimjames

our bills come out 22nd month. Some 1st of every month

Personally I would try to avoid a switch near any payments if possible. I've had one before where the payment was shown as being paid from my old account but actually was paid from the new. I thought it had been paid twice but in the end the old payment never took place despite being shown on my account.

blue.peter

I find it mildly inconvenient that my income arrives in my 123 account around the same time as the interest and cashback are calculated. In order to meet the minimum monthly income requirement, a couple of times a year I have to move my pension out to a non-Santander savings account and then back a few days later. (Normally, I get paid at the end of the month, but it's earlier in December and January.)

I know that the 123 is no longer available, but this might be relevant if your new account has a minimum monthly credit requirement and it's based on the start date of your account.

gerrard88

https://forums.moneysavingexpert.com/discussion/comment/82040615#Comment_82040615

sorry not sure what you mean

blue.peter

https://forums.moneysavingexpert.com/discussion/comment/82041049#Comment_82041049

OK, let's go through my actual experiences in late 2024 and early 2025.

I opened my account on the 20th of a month. The 20th is therefore what Santander call the "monthly anniversary" of my account. My monthly fee is collected on that day, and my interest and cashback get paid then. One of the qualifications for the interest and cashback is that "You must pay at least £500 into your account every month. This is not a calendar month, it is the monthly anniversary from the date you
opened/transferred your account." (Quoted from the account Key Features.)

So I've got to ensure that I receive at least £500 to that account between 20th of one month and 20th of the next month from outside Santander. This shouldn't be a problem, given that my pension is over £500 a month and it's due at the end of each calendar month. However, the scheme actually pays the December and January instalments early. (This reflects my former employer's salary arrangements. The idea is that staff get some extra money before Christmas and the same is done in January, so that January isn't an overly long month.)

Anyway, my pension actually arrived in my account on:

• 27 November 2024
• 20 December 2024
• 17 January 2025
• 26 February 2025

So, unless I took action, I'd double-qualify in one month and fail to qualify in February. (It didn't matter whether the 20 December payment counted for December or January: that only affects which month has the double qualification.)

What I actually did was to move the bulk of my December pension (over £500!) out to a building society on 20 December and back again on 30 December. I then did the same again between 17 and 31 January.

I have to remember to ensure that I have an significant amount of money coming in between the relevant dates if I'm not to pay the £4 monthly fee for no gain. I have to watch when I get paid, and take action if necessary. As I said, it's only a minor inconvenience, but an inconvenience nonetheless.

I don't expect that your income payment dates will vary by as large a period as mine, but there might be some fluctuation. Supposing that your salary (or whatever) is due at the end of the month. In this case, you might prefer not to have your monthly anniversary on, say, the 30th, since January's will be due on the 31st and February's on 28th/29th. Bear in mind also that weekends and public holidays can affect actual payment dates.

gerrard88

makes sense thanks

But guess the switch takes time to complete so it would be ok doing it like now?
even if money comes out on Monday

eskbanker

But guess the switch takes time to complete so it would be ok doing it like now?

Current account switching takes seven working days.

blue.peter

https://forums.moneysavingexpert.com/discussion/comment/82041293#Comment_82041293

I think that what matters here is the date on which the account is opened, and not the date on which the switch completes. But I'm not certain. If it makes a difference, I suggest checking with Santander.

blue.peter

https://forums.moneysavingexpert.com/discussion/comment/82041401#Comment_82041401

That's seven working days from when the receiving bank starts the process. The bank won't always start the process immediately. I recall doing a switch to The Co-operative Bank some years ago. The earliest start date for the process that they offered me was about two weeks after I requested it. It therefore didn't complete until about three weeks later.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/82041489#Comment_82041489

Yes, the process itself takes seven working days but that doesn't imply that it can start immediately!