£1 test BACS transfer into Kaupthing- what next?

bgscotty

Hello.

I would welcome a little advice...

I have opened the Kaupthing Edge savings account so I could take advantage of the 6.86% deposit account.

As suggested on the forums, I did a £1 test BACS transfer from my linked current account. This went fine.

I now want to deposit £5000 in the 6.86% account.

Is there anything I need to do to ensure everything goes ok?

Also, I've read posts on the pros and cons of having to link an account, but I'm not too sure why this might be a problem.

Could someone explain it to me, please?

Thank you in advance.

BG

exel1966

I personally do 2-3 £1 test transfers on differing days of the week to any new account to test out transfer times too.

With the £5k ensure you move it on either a Monday or Tuesday as that will cut down the transfer time process. You don't want your money sat in the processing system over a weekend. OK, it's not a great loss, but it can be avoided.

whu

In order to transfer to the fixed deposit you need to transfer the money from the savings account to the fixed deposit - I have also read some posts regarding the linked account and can only assume that some people would prefer to send money to the KE account from another account other than the linked account - if I need to transfer to the KE account I will send the money to the linked account and then transfer it to the savings account

whu

I have found that if you transfer the money on a Monday it gets into the KE account on a Thursday

mjmal51

whu wrote: »

I have found that if you transfer the money on a Monday it gets into the KE account on a Thursday

Strange, I have transferred Mon morning and had it in the K account on Weds, also transferred Weds morn and had it in the K account by Friday.

munk

I would at least try a £1 test from Kaupthing Edge to your linked account. To my peril I found that I'd entered one digit incorrectly on my linked account (pesky A&L account number mixup) which meant withdrawals from KE ended up in someone elses account at A&L. Luckily the mixup was caught by A&L (apparently was reported by the other A&L account holder who had the money paid into their account as well which restores faith in humanity a little:)) but still it would have been better to have tested things out first with a £1 transfer first.

philadam

I did my test transfer of £1 to Kaupthing and it took three working days (debit Monday, credit Wednesday) although when I logged on to my Kaupthing account on Wednesday it didn't show up, but was there when I checked on Thursday with a credit date of Wednesday. Waiting for the £1 back to my linked account and that should arrive tomorrow, fingers crossed. I'll then transfer a larger amount.

Phil

mjmal51

philadam wrote: »

I did my test transfer of £1 to Kaupthing and it took three working days (debit Monday, credit Wednesday) although when I logged on to my Kaupthing account on Wednesday it didn't show up, but was there when I checked on Thursday with a credit date of Wednesday. Waiting for the £1 back to my linked account and that should arrive tomorrow, fingers crossed. I'll then transfer a larger amount.

Phil

Depends on the time of day you check Kaupthing, has shown up in my account always later in the day, sometimes after 10.00am and sometimes after midday. Icesave always seems to update at 9.00am.

philadam

Just a quick update to confirm the £1 transfer from Kaupthing did indeed take three days and arrived safely in my bank yesterday so I'll now be doing a more substantial transfer to take advantage of the rate of interest.

mjmal51, it's interesting what you say because I was going to mention the same thing, but kind of the other way round if you see what I mean. The money was not in my bank account first thing, but did arrive later. The reason for this as far as I can tell from my bank statement narrative and knowledge of these things is that it didn't arrive as a BACS payment (which shows up when accounts are updated overnight), but as a manual electronic transfer via Singer Friedlander in London. I suspect inward payments to Kaupthing are handled in the same way as the outward ones. Singer Friedlander act as the paying/collecting bank and then send the money to or from Kaupthing on their behalf.

The implications of this could be important to some and it's worthwhile mentioning here. With a BACS payment you are technically able to draw on those funds from your bank first thing in the morning with that overnight update, but if Kaupthing use the electronic transfer method to your bank account via SF then you can only draw on them once they have arrived and this could be at any time during day three of the process. Fine for most transactions, but if you are waiting on the money, to draw cash for instance, you'll be delayed until that Kaupthing payment is actually received by your bank.

Phil

mjmal51

Interesting point from philadam and good explanation. I have always been used to using internet accounts with BACS transfer and have usually assumed the money is in my "transferred to" account after midnight and have often already made prior arrangements to move it again on that same day. Will now be more careful with Kaupthing on that issue.

oshoshitzu

I did a £1 test transfer very early Monday Morning 21st (2.30am) to my KE account. I checked the account at 10pm Weds the £1 was not showing in the account. I checked today Thurs 1.30pm, the £1 was showing with a credit date of today, Thurs 24th.