Regular Saver - when to pay in

ericpode

I've just received my passbook an details for the Cheshire Regular Saver.

I opened it with a £500 cheque, and their welcome letter was dated 30th September.

The letter said to set up a standing order no later than 20th of each month so that the credit is received to the RS account by the end of each month.

Now I assume that the first payment (not counting the opening cheque) will be "no later than" 20th October. But am I likely to make more interest by making the transfer on the 1st of each month instead of the 20th ? Or is Cheshire's calculation of interest the same regardless of what day of the month the payment was received?

Also It's not clear when the 12 months will be up. Will the final payment be on 20th August 2006 or 20th September 2006? And the money will be transferred to an easy saver on the 1st of ???????

Anyone know about this?

charlieboycat

I would have expected the answer to your first question to be "yes" - but it does depend on Cheshire's T&C.

Re rollover date, that definitely depends on Cheshire's T&C. For example Abbey's is always on the 1st of the month of the anniversary of opening, whereas Halifax is on the actual anniversary day.

Speculator

I make my payments via Standing Order on the last day of the month if it's a Monday or Tuesday or the 1st Monday of the month providing it's not a public holiday.

Never make it on a Wednesday, Thursday, Saturday or a Sunday.

Dagobert

Speculator wrote:

I make my payments via Standing Order on the last day of the month if it's a Monday or Tuesday or the 1st Monday of the month providing it's not a public holiday.

Never make it on a Wednesday, Thursday, Saturday or a Sunday.

Do you mean you change your SO dates every month to pay at the beginning of the week?

jaybee

Speculator wrote:

Never make it on a Wednesday, Thursday, Saturday or a Sunday.

Why? What difference does it make?

Dagobert

jaybee wrote:

Speculator wrote:

Never make it on a Wednesday, Thursday, Saturday or a Sunday.

Why? What difference does it make?

A transfer takes 2-4 working days, during which no interest is paid. If the transfer spans a weekend, it takes longer and you lose more interest.

Speculator

Dagobert wrote:

Do you mean you change your SO dates every month to pay at the beginning of the week?

Yes. I have to change over fifty standing orders every month via online banking!

Kazza242

I try to get my regular saver payments in as near to the 1st of every month as possible. If the 1st falls on a Wednesday, Thursday or Friday, then I alter my SO so that the payment reaches the regular saver on the 1st.

If the 1st falls on a Saturday or Sunday; then I alter my SO so the money is moved from my current account on the next Monday (or Tuesday if the Monday is a Bank Holiday) this ensures that my payment reaches the regular saver as near to the start of the month as possible.

I make sure that my SO's never take money out of my current account later than a Wednesday; otherwise payments can take anything up to 5 days to arrive!

Chadsman

Speculator wrote:

Yes. I have to change over fifty standing orders every month via online banking!

Cant you set up a few bill payment facilities? :beer:

Dagobert

Chadsman wrote:

Speculator wrote:

Yes. I have to change over fifty standing orders every month via online banking!

Can't you set up a few bill payment facilities?

Yes, apparently standing orders are just repeat BACS transfers anyway: What's a Standing Order?

ericpode

Rang the Cheshire yesterday - stuck at position 1 in the queue for flippin' ages. Gave up.

Rang this morning and was answered immediately. Yes you'll get more interest if you pay in at the beginning of the month.

I think I won't bother with setting up a standing order. I'll just pay manually immediately for the October payment, then pay at the end of October and the following months; timed to avoid spanning weekends but to arrive in the Cheshire account as early as possible in the month.