Halifax to relaunch regular saver @10%+

nrsql

nrsql wrote: »

I opened the accout and transferred £25 from Egg. I then transferred £475.
That was before I received the pack from Halifax.
It takes a while to set up a SO and was in a rush. From the web site I thought this would be ok.

Have I lost the 10% through doing this or should I still let the SO go through for next month?

And how do they know that the payment is by SO rather than a transfer?

gelato_cat

Further to this, I remembered the other day that my Lloyds Monthly Saver (an 8% regular saver) will be maturing in September. I have £6100 in there.

I'm thinking about taking £3k out now (ie before maturity) to put with the other £2k I've managed to scrape together and put it in a Guaranteed Saver to get the 12% on the RS.

Am I mad?

Suze

Mikeyorks wrote: »

No - you will lose if you deliberately tie up £5k in one of the nominated accounts .... in order to get the extra 2%.

The maximum benefit is from new money direct into the 10% account. The next best is teaming the 10% with an external feeder account (preferably utilising FP transfers) at circa 6.3% / 6.5%.

The 12% is really only viable if you just happen to have £5k 'tied up' in one of the nominated accounts.

http://forums.moneysavingexpert.com/showpost.html?p=11498941&postcount=98

trashcan_2

By changing the date of the standing order to the 1st of the month, is that that date it leaves your bank and not the date it reaches the regular saver account.
If i set my standing order at Barclay's to the 1st, would it not reach the Halifax to the 3rd or 4th of the month.

LittleVoice

trashcan wrote: »

By changing the date of the standing order to the 1st of the month, is that that date it leaves your bank and not the date it reaches the regular saver account.
If i set my standing order at Barclay's to the 1st, would it not reach the Halifax to the 3rd or 4th of the month.

Remember that eventually SOs should be included in the Faster Payment system. At that point it would be important not to have the SO set for earlier than the 1st of a month as at the changeover point it would lead to an over-subscription. (Not such a worry if you are only sending £250 or less each month.)

trashcan_2

Am I right in thinking though that if I put the 1st of the month on my standing order with Barclay's, that is the date it leave my bank and its not the date it arrives at the Halifax.

tiptoe_mouse

trashcan wrote: »

Am I right in thinking though that if I put the 1st of the month on my standing order with Barclay's, that is the date it leave my bank and its not the date it arrives at the Halifax.

Correct. It will leave later if the 1st is not a working day.

tiptoe

LittleVoice

tiptoe_mouse wrote: »

Correct. It will leave later if the 1st is not a working day.

tiptoe

Some building societies still take SO funds out of current accounts on a Saturday, Sunday or bank holiday even though it will reach the destination account no earlier than if it left on the next working day. They claim this is because you, the customer, have made the order for a particular numbered day and so they take it then, even though it is a nonsense as far as transferring funds are concerned. I believe Nationwide are still doing this even though I had a letter from them last year saying the practice would end in, I think, October 2007.

sloughflint

Suzey wrote: »

Further to this, I remembered the other day that my Lloyds Monthly Saver (an 8% regular saver) will be maturing in September. I have £6100 in there.

I'm thinking about taking £3k out now (ie before maturity) to put with the other £2k I've managed to scrape together and put it in a Guaranteed Saver to get the 12% on the RS.

Am I mad?

Suze

For 3 months, your 3 k will be earning 6.25% rather than 8% ie a loss of 1.75% for three months
in order for your RS funds to earn an extra 2% over the year.
I'll do a quick calculation and come back
edit.
Don't know when your funds mature in Septemeber so taking a guess at 90 days
gross loss: 3000*0.0175/365*90=£12.94
gross gain 6000*0.02/12*6.5=£65 ( 12 payments rather than 13)

ej3ae

I'm still surprised the 13th payment won't be accepted because it talked about one standing order per calender month. I'm sure this wasn't the case with Lloyds TSB because between account opening and 1st anniversary i managed 13 S/O payments without problems due to opening it in the middle of the month. As I say I wish i could read the T&Cs again - I clearly didn't give them the due attention they required. I'm starting to wish I hadn't bothered what with Halifax not knowing one way or the other when to put the first payment in and having to take documents into a branch for them to photocopy and no doubt subsequently lose (cynical i know) - still at least I will be putting another min £25 away every month.

Mikeyorks

Suzey wrote: »

Am I mad?

Depends on the penalty for removing £3k from your 8% account? If it's just pro-rata ... then probably not (mad). But bear in mind that the quote, you gave from me, is out of date. It was written 5th June when it appeared the maximum benefit for tying up £5k in a Halifax nominated account was 5.25%. But they subsequently announced that £5k in the Guaranteed Saver could attract the 'reward' status at 6.25% .... if you opened from 9th June. That made the tying up of £5k beneficial if you were striving for the 12%.

(from their site :

To get this great rate (viz 6.25%) open an account between 9 June 2008 and 10 August 2008.

)

At only 5.25% ..... you were better sticking to the 10%.