Standing Order Querie

rangers_fc

How long does it take a standing order take to arrive at its destination, for the intent of this discussion between different banks? With the ammount of internet banking available today it seems scandolous that it can take up to four days for a money transfer to happen? Is this correct as it rather negates the interest one can earn from a lot of these new internet monthly saving accounts.

charlieboycat

2 working days later (ie. send on Tuesday, arrives Thursday) - it's just a BACS transfer initiated monthly by your bank.

grumbler

charlieboycat wrote:

2 working days later (ie. send on Tuesday, arrives Thursday) - it's just a BACS transfer initiated monthly by your bank.

BACS transfers take up to 4 working days ...

rangers_fc wrote:

...it seems scandolous that it can take up to four days for a money transfer to happen?

Yes, see 'Where is my money?' and link to anothe thread inside.

Is this correct as it rather negates the interest one can earn from a lot of these new internet monthly saving accounts.

I don't think that this absolutely 'negates' 7-8-10% of regular saving accounts. For more exact calculations see 'when a regular saver is worth it: '

Speculator

my Standing Orders take 2 working days to reach its destination.

charlieboycat

grumbler wrote:

BACS transfers take up to 4 working days ...

So it is often quoted - by banks etc to protect themselves. It seems to me that in most cases this "four" includes the day that the transfer is initiated - ie. they are saying that if initiated on a Tuesday (Day 1) it arrives by the Friday (Day 4). Thus what I called 2 days (because you only lose 2 days interest) in my previous post is "three days" in bank terminolgy - and they add another one to protect themselves.

My only experience of BACS senders where transfers initiated on a Tuesday (Day 1) don't arrive on the Thursday (Day 3 - with 2 days loss of interest) but arrive on the Friday (Day 4 with a loss of 3 days interest) are Alliance & Leicester and Cahoot. My belief is that this is due to a deliberate policy on their part not to release the funds into the BACS system until the day after you initiate the transfer. With other senders such as Birmingham Midshires, Bradford & Bingley, Egg, HSBC, ING, Intelligent Finance, NatWest my money always arrives on Day 3 (ie. 2 days loss of interest).

dunstonh

3 days are actual transfer days, with a forth day often added to allow for a manual recall. So, if it leaves the bank on the Monday, it gets to the other bank on the Wednesday.

Ex/building societies may still add a number of days on top of this but the big 4 will not. This is because some of them use the banks to clear their transactions so have to allow time for the bank to get the recall and then let the ex/building society know.