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Transfering to Halifax from Abbey?
Tiny_Tiger
Posts: 33 Forumite
Complicated and not sure if I can be bothered but...
I have my cash ISA with Abbey at 4.9%. Halifax is the best buy now but I'm trying to work out what interest you lose during the transfer. Lets say you have £20K. At 4.9% that's £2.68 interest a day. £20K at 5% earns you £20 more in a year. That means that if you lost more than 7 days interest in the transfer then you'd be better off staying with Abbey, at least over the term of the year. Obviously, the other problem is the fact its only £20 (or the equivilant) in the year extra. However, over more than a year it adds up. Chances are you'd move it again, though, to keep up with the best buy.
Anyway, does anyone know the time it takes to start earning interest with Halifax after the money is transfered out of your current ISA?
I have my cash ISA with Abbey at 4.9%. Halifax is the best buy now but I'm trying to work out what interest you lose during the transfer. Lets say you have £20K. At 4.9% that's £2.68 interest a day. £20K at 5% earns you £20 more in a year. That means that if you lost more than 7 days interest in the transfer then you'd be better off staying with Abbey, at least over the term of the year. Obviously, the other problem is the fact its only £20 (or the equivilant) in the year extra. However, over more than a year it adds up. Chances are you'd move it again, though, to keep up with the best buy.
Anyway, does anyone know the time it takes to start earning interest with Halifax after the money is transfered out of your current ISA?
:j
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Comments
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I’ve just moved from Nationwide to Halifax. Nationwide added interest and closed the account 19 September. The transfer appears on the Halifax account as of 20 September. When I went to my Halifax branch to arrange the transfer, I was assured that I would get interest from the moment the money hit the account, and I would lose minimal interest. You can’t do much better than two days’ loss. Even if the transfer occurs all in one day, you’ll lose one day’s interest – interest accruing only for whole days.Tiny_Tiger wrote:Anyway, does anyone know the time it takes to start earning interest with Halifax after the money is transfered out of your current ISA?古池や蛙飛込む水の音0 -
Alfie's told you what happens in practice. For the theory, see post #14 on this thread...Anyway, does anyone know the time it takes to start earning interest with Halifax after the money is transfered out of your current ISA?
http://forums.moneysavingexpert.com/showthread.html?t=88274&page=2&pp=100
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