Opening an account and unemployment.

trashcan_2

After a long period of ill heath i find my self back as a job seeking.

I receive no benefits now as i have saving.

Should there be any problems opening saving account and being unemployed.
is it worth the bothering about applying for gross interest when i might be in work within the month. There again i might not be.

I applied online for the abbey instant saver 6.5% branch /phone account.

When it said to put my monthly earning in and i put 00.00 it would not except it. Do i have to lie to open an account or should i put £1 down.
I didn't go through with the abbey account until i was shore that unemployment didn't effect things.

thanks.

B.E.N

Why don't you put yourself down as "Living by Independent Means"? You could then put either the dividend income or the amount you draw out each month as monthly income. It wouldn't be lying, and, "Independent Means" must sound a lot better to a Bank Manager than "Unemployed"...

KeithEssex_2

Hi Trashcan,

I was in a similar position earlier this year - being made redundant following a period of ill health.

When I applied for some new accounts recently they had the option to put in "Unemployed - with income". I then entered an estimate of the interest that I would received on my savings as my income. Obviously it was a lot less than I used to earn. However I have a good credit record and there was no problem getting the new accounts.

Good luck with everything - I hope that things go well for you.

trashcan_2

Thank you to you both.

Thats what I will do. I will put down my interest for the year, as this is what i live on and supported from my wifes earnings ( a basic life anyway).

Do you know if I should claim or not claim, gross interest when I apply for this account, taking into account my wifes earning and that I could find a job soon, but thats uncertain as to my health problems.

KeithEssex_2

trashcan wrote: »

Thank you to you both.

Thats what I will do. I will put down my interest for the year, as this is what i live on and supported from my wifes earnings ( a basic life anyway).

Do you know if I should claim or not claim, gross interest when I apply for this account, taking into account my wifes earning and that I could find a job soon, but thats uncertain as to my health problems.

It really depends on the level of your savings. Assume the worst (i.e. that you will live off your savings for the rest of the tax year). Do a calculation as to your total amount of interest for the year. If that is below the personal tax allowance (£6035) then I'd go for it. If not then you should not apply.

The rule is you should not complete the form if your income is likely to exceed £6035 (after 10% tax issue) by even £1.

If you do pay too much tax then form R40 is available to recieve a tax refund on tax deducted on interest. I applied for a refund by completing a tax return online at the start of the tax year and received the money within 2 weeks.

trashcan_2

Thanks for your advise.

As most of my saving is in Isa's that would not effect me as they are tax free.

I have about £8ooo in none isa accounts. so the saving would be about £100 for the year which is OK if i am off a year but a lot of paperwork if it only a couple of month.

many thanks

SaverRanger

Good morning, trashcan.

Having had the good fortune never to have been in your position, I cannot offer you any practical advice. I am, however, fully aware that we live in a nation shorn of it's great industrial heritage, a nation that manufactures next to nothing these days, a nation intent on increasing the population of this small, overcrowded, island, without having the decency to ensure that jobs are created too in even numbers, and last, but not least, a nation that has, rather sadistically in my opinion, decided to make the baiting of the unemployed a national sport despite the undeniable truth of the above. In a nation whose population is around 62million people, and rising, there can only be so many IT consultants, only so many computer programmers, only so many people sitting on their bum in front of a computer in some pokey little office doing whatever it is they do 40hrs a week, etc, etc, etc.

So, in place of practical advice, please allow me to wish you the very best of British luck, if there's any left, that is.