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  • FIRST POST
    • tomstanley1
    • By tomstanley1 13th Sep 15, 9:51 PM
    • 18Posts
    • 12Thanks
    tomstanley1
    Santander 123 account fee increasing to £5 from January
    • #1
    • 13th Sep 15, 9:51 PM
    Santander 123 account fee increasing to £5 from January 13th Sep 15 at 9:51 PM
    This is in the Telegraph tomorrow:

    http://www.telegraph.co.uk/finance/personalfinance/bank-accounts/11862290/Santander-123-current-account-fees-rising-to-5-in-January.html?utm_source=dlvr.it&utm_medium=twitter
Page 1
    • Kernel Sanders
    • By Kernel Sanders 14th Sep 15, 12:16 AM
    • 3,437 Posts
    • 1,411 Thanks
    Kernel Sanders
    • #2
    • 14th Sep 15, 12:16 AM
    • #2
    • 14th Sep 15, 12:16 AM
    It's still a good deal if you have several thousand but for many, they'll be paying tax on £x of interest but receiving a smaller amount.
    The article unfairly accuses Santander of being underhand with the cashback yet customers can leave without penalty. It also falsely states that Santander are switching from an annual to a monthly fee.
    Last edited by Kernel Sanders; 14-09-2015 at 12:53 AM.
    #JeSuisCharlie
    • roddydogs
    • By roddydogs 14th Sep 15, 5:28 AM
    • 6,214 Posts
    • 2,641 Thanks
    roddydogs
    • #3
    • 14th Sep 15, 5:28 AM
    • #3
    • 14th Sep 15, 5:28 AM
    ? 2 threads?
    • Sea Shell
    • By Sea Shell 14th Sep 15, 6:03 AM
    • 1,775 Posts
    • 3,025 Thanks
    Sea Shell
    • #4
    • 14th Sep 15, 6:03 AM
    • #4
    • 14th Sep 15, 6:03 AM
    More great news....not!!!

    So full £20k would've been getting 3% gross = £600 pa, less £24 = 576 = 2.88%
    now £20k would get £600 less £60 = 2.7%

    I guess in the current climate 2.7% is still pretty good, and better than can be had elsewhere.

    However, its not such a great deal if the account is used as a 'normal' current account without a large balance sitting there.

    Just looked at our cashback for this month...and it only came to £4.69, so not even enough to cover the new fee. (as we've been MSE and screwed down all our household bills!!)

    Oh well.
    • 20aday
    • By 20aday 14th Sep 15, 6:44 AM
    • 2,439 Posts
    • 1,043 Thanks
    20aday
    • #5
    • 14th Sep 15, 6:44 AM
    • #5
    • 14th Sep 15, 6:44 AM
    Thank you for the link; the Santander 123 MasterCard is increasing the card's Annual Fee from £24 to £36!

    I guess that means they'll carry on paying 1/2/3% on qualifying spend that's not a bad thing but you'd have to spend quite a bit to make the card worthwhile.
    It's not your credit score that counts, it's your credit history. Any replies are my own personal opinion and not a representation of my employer.
    • Harveys
    • By Harveys 14th Sep 15, 7:14 AM
    • 217 Posts
    • 91 Thanks
    Harveys
    • #6
    • 14th Sep 15, 7:14 AM
    • #6
    • 14th Sep 15, 7:14 AM
    More great news....not!!!

    So full £20k would've been getting 3% gross = £600 pa, less £24 = 576 = 2.88%
    now £20k would get £600 less £60 = 2.7%

    I guess in the current climate 2.7% is still pretty good, and better than can be had elsewhere.

    However, its not such a great deal if the account is used as a 'normal' current account without a large balance sitting there.

    Just looked at our cashback for this month...and it only came to £4.69, so not even enough to cover the new fee. (as we've been MSE and screwed down all our household bills!!)

    Oh well.
    Originally posted by Sea Shell
    From April next year interest will be most tax free. So rather than
    50-10-2=38
    50-5=45

    So 7quid better off
    • colsten
    • By colsten 14th Sep 15, 7:57 AM
    • 10,319 Posts
    • 9,493 Thanks
    colsten
    • #7
    • 14th Sep 15, 7:57 AM
    • #7
    • 14th Sep 15, 7:57 AM
    ? 2 threads?
    Originally posted by roddydogs
    This one existed first, and it is also on the right board. The 123 is a current account, not a savings account, even if lots of people use it for the interest.
    • colsten
    • By colsten 14th Sep 15, 8:01 AM
    • 10,319 Posts
    • 9,493 Thanks
    colsten
    • #8
    • 14th Sep 15, 8:01 AM
    • #8
    • 14th Sep 15, 8:01 AM
    So full £20k would've been getting 3% gross = £600 pa, less £24 = 576 = 2.88%
    now £20k would get £600 less £60 = 2.7%
    Originally posted by Sea Shell
    To calculate interest, you need to use the gross rate as published by Santander, not the AER. The gross rate is 2.96% before tax. Only a minor difference but it is good to understand how interest gets calculated.
    • Yorkshire Pud
    • By Yorkshire Pud 14th Sep 15, 10:13 AM
    • 976 Posts
    • 658 Thanks
    Yorkshire Pud
    • #9
    • 14th Sep 15, 10:13 AM
    • #9
    • 14th Sep 15, 10:13 AM
    With interest 'tax free' from april 2016 I expect all the banks and building societies to take their unearned 'share' of the supposed extra 20% uplift in 'our' savings interest.

    Increased bank charges, account fees and savings interest failing to rise when base rate does. Maybe rates even falling more when BOE base rate rises.

    Its the usual Tory shafting of hard working savers creating policies that seem good in principle but in fact benefit institutions more than the rank and file. Toss the plebs a few crumbs and they will be happy while we walk away with the gold.
    Last edited by Yorkshire Pud; 14-09-2015 at 10:18 AM.
    • CLAPTON
    • By CLAPTON 14th Sep 15, 11:21 AM
    • 41,650 Posts
    • 30,691 Thanks
    CLAPTON
    With interest 'tax free' from april 2016 I expect all the banks and building societies to take their unearned 'share' of the supposed extra 20% uplift in 'our' savings interest.

    Increased bank charges, account fees and savings interest failing to rise when base rate does. Maybe rates even falling more when BOE base rate rises.

    Its the usual Tory shafting of hard working savers creating policies that seem good in principle but in fact benefit institutions more than the rank and file. Toss the plebs a few crumbs and they will be happy while we walk away with the gold.
    Originally posted by Yorkshire Pud
    it would seem to be socialist EU new rules that have caused the increase in fees but never let the facts get in the way of a good story.
    • Space Captain
    • By Space Captain 14th Sep 15, 1:11 PM
    • 104 Posts
    • 29 Thanks
    Space Captain
    Have Santander Retailer Offers finished ? When I log on I no longer see a link to shops and restaurants that offer cashback.

    Even if there weren't any current offers I thought I could view my previous offers.
    • Ballard
    • By Ballard 14th Sep 15, 1:17 PM
    • 2,142 Posts
    • 2,003 Thanks
    Ballard
    Have Santander Retailer Offers finished ? When I log on I no longer see a link to shops and restaurants that offer cashback.

    Even if there weren't any current offers I thought I could view my previous offers.
    Originally posted by Space Captain
    They're still around on mine but they come and go randomly which I've put down to a bug. If you have the app they're generally shown there all of the time (or at least, whenever I look).
    • SnowTiger
    • By SnowTiger 14th Sep 15, 2:20 PM
    • 3,692 Posts
    • 2,705 Thanks
    SnowTiger
    Have Santander Retailer Offers finished ? When I log on I no longer see a link to shops and restaurants that offer cashback.
    Originally posted by Space Captain
    No, still there (for me). Similar to the ones offered by Halifax. Today I have:

    Waitrose
    Ernest Jones
    H Samuel
    Robert Dyas
    Hilton
    Photobox
    • Former MSE Helen
    • By Former MSE Helen 14th Sep 15, 4:16 PM
    • 2,324 Posts
    • 971 Thanks
    Former MSE Helen
    MSE News: Santander to shake-up 123 current account and credit card fees
    Santander is upping the monthly fee on its 123 current account and credit card - MoneySavingExpert analyses the changes...

    Read the full story:

    Santander to shake-up 123 current account and credit card fees




    Click reply below to discuss. If you havenít already, join the forum to reply. If you arenít sure how it all works, read our New to Forum? Intro Guide.

    • molerat
    • By molerat 14th Sep 15, 4:22 PM
    • 20,655 Posts
    • 14,917 Thanks
    molerat
    Santander's 123 customers will still get the following as long as each month they pay in £500+, have two direct debits paid out from the account, and pay the monthly fee:
    Are they changing the rules as well or is it poor journalism ?
    https://www.helpforheroes.org.uk/give-support/donate-now/
    • minislim
    • By minislim 14th Sep 15, 4:28 PM
    • 330 Posts
    • 197 Thanks
    minislim
    shame. i liked the 123 account. it worked out better than savings accounts even with the £2 fee.
    introduce an extra £36 on top per year?
    its not looking as good anymore. might have to move.
    • Cactus_Jack
    • By Cactus_Jack 14th Sep 15, 4:42 PM
    • 572 Posts
    • 85 Thanks
    Cactus_Jack
    Very disappointing, I wonder if consumer pressure could make them change their mind..
    • tizerbelle
    • By tizerbelle 14th Sep 15, 4:46 PM
    • 1,552 Posts
    • 3,359 Thanks
    tizerbelle
    I've always wondered how MSE worked out the "LOW" figures for the annual cashback over the years. Whenever I have checked the figures with my DDs I have never been able to get above about £50 cashback a year - meaning £26 after the annual fee of £24. Currently the most cashback I would get is £45 before the annual fee is applied not after as their table predicts.
    • YorkshireBoy
    • By YorkshireBoy 14th Sep 15, 4:55 PM
    • 30,620 Posts
    • 18,632 Thanks
    YorkshireBoy
    I wonder if consumer pressure could make them change their mind..
    Originally posted by Cactus_Jack
    Are you serious? This is/was/has always been a loss leader for them, and must have cost them a small fortune over the last 3 or so years. I think they've been wanting to cut these losses for some time, and recent external influences have given them the opportunity to do so without losing face.
    • Herbalus
    • By Herbalus 14th Sep 15, 5:12 PM
    • 2,307 Posts
    • 2,005 Thanks
    Herbalus
    Not sure what they're doing with the CC - £3 fee per month with max cashback of £3 for new customers?! So basically a cashback card where you cannot make a net gain. Do they think we're stupid or have I misunderstood something?
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