Standard Savings Accounts and Standing Orders

alexj2002

Which savings accounts allow you to set up a standing order to another account (a regular saver for example).

Cahoot have refused my SO request and on contacting Egg and B&B they both say they can't.

Does anyone do this. I seem to remember ING being mentioned by Martin sometime - do they allow it?

derrick

You need a current account to set up standing orders and direct debits.

ING will only send/recieve money from your nominated current account

alexj2002

That's what I thought but in a printed copy of one of Martin's articles (The Savings Fountain from 23 March) it said this was the way to do it. I notice that it doesn't mention SO's anymore in the updated version.

How is it possible to get money from a SA to a reg saver.

Current A/C is A&L
Savings A/C can be A&L
Reg Saver A/C is Abbey.

MarkyMarkD

A friend of mine has a Barclays savings account and they let her do SOs and DDs on it - but this is not officially sanctioned apparently. I'm sure it pays a rubbish interest rate anyway, so not very helpful to this discussion.

If your current account pays a decent rate (like the A&L one you mention does) then why worry about the money sitting there until the DD/SO goes out?

alexj2002

Because my A&L account isn't the Premier Plus Current A/C it's the Premier Current Account and therefore on balances over £2500 it pays HSBC/Natwest rates (2.12% AER (variable)1 on balances up to £2,500, 0.1% gross (variable) on balances over £2,500) therefore cancelling out the benefits of the reg saver.

I've noticed it's possible to set up transfers in the future from a savings a/c to a current a/c- does anyone know how far in advance this can be done?

derrick

I use Intelligent Finance (Halifax) if you set up a savings account with a minimum of £1.the interset rate is 4.75%,if you then open a current account the interest rate will be the same, 4.75%,as long as the savings account has at least £1. in it. You can then use this current account to transfer money in and out of most if not all savings accounts

Milarky

alexj2002,

I believe the cahoot savings account allows future dated BACs payments - which is the same thing as SO - except you would specify the date of each payment manually in advance.  ING allows you to move payments in the same way - but only to your current a/c. This would work but you would lose at least four days interest overall [from ING to regular savings via A&L]

But I also thought Premier current a/c customers could get an upgrade [plus £25 for applying online] and so get 5.5% from A&L anyway?

In order to generate a higher monthly credit [eg of £1000 at least] you can just draw the cash out physically and pay it straight in again! As far as the systems view this you have made additional credits.  ;D

MarkyMarkD

Sorry to sound stupid, but I don't see the reason for needing to transfer the funds into the regular savings account FROM a savings account.

If you have any income at all, you can fund the regular savings account from your income, not from your savings, can't you?

The only reason to need to transfer directly from savings - savings is if you are just churning the same money around rather than actually adding additional savings balances. If this is what you mean, then I understand your problem. But even then, you would be losing about 1 week's interest in total on the amount transferred (2 days + 2 days but allowing for weekends too) = 1/52 x 5% = around 0.1%. Not a big deal: a maximum of 60p on the maximum £6,000 you can put into the Abbey regular saver.

BTW You cannot upgrade to Premier Plus online - you have to do it by phone. The £25 is for new customers not those upgrading.