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  • FIRST POST
    • newuser78
    • By newuser78 14th Mar 17, 1:53 PM
    • 187Posts
    • 35Thanks
    newuser78
    Tesco Current Bank Account
    • #1
    • 14th Mar 17, 1:53 PM
    Tesco Current Bank Account 14th Mar 17 at 1:53 PM
    Managed to sign up for a current account with Tesco which pays 3% interest of up to 3k.

    First day the account became active, I put the whole 3k into the account.

    Due to interest, the balance is now 3004.62 (exciting!), does this mean that I no longer get 3%? E.g. do I need to take 4.62 out of account?
Page 3
    • ST-User
    • By ST-User 18th Jun 18, 1:18 PM
    • 55 Posts
    • 13 Thanks
    ST-User
    Nationwide explains the same situation much better:
    "In plain English this means, you'll earn interest on the first 2,500 of your balance each month but you won't get any interest on any part of your balance over 2,500."
    • OceanSound
    • By OceanSound 8th Jul 18, 6:10 AM
    • 367 Posts
    • 58 Thanks
    OceanSound
    .....So, for example, say my account was opened on 31 May 2018. I could pay in 750 tomorrow. Then have three direct debits leave the account before 30th June (note that there is no 31st in June, so does Tesco take 30th June or the 01 of July for the end date of the statement month?)........
    Originally posted by OceanSound
    My account was actually opened on 30 May 2018. I received letter from Tesco dated next day (31 May). I was paid interest on 30 June (even though it was a Saturday!). Just out of interest, does anyone know what would have happened IF i had opened account on 31 May?, would interest have been paid on 30 June or 01 July?
    BTW: anyone setting-up DD's, start doing it early. I just about snuck-in with the last two DD's paid out on 28 June. It was edge of the seat stuff. Real Nail biter!. Of course, this was partly due to activating the account as late as 18 June.
    Last edited by OceanSound; 08-07-2018 at 6:16 AM.
    • pafpcg
    • By pafpcg 8th Jul 18, 1:08 PM
    • 266 Posts
    • 252 Thanks
    pafpcg
    My account was actually opened on 30 May 2018. I received letter from Tesco dated next day (31 May). I was paid interest on 30 June (even though it was a Saturday!). Just out of interest, does anyone know what would have happened IF i had opened account on 31 May?, would interest have been paid on 30 June or 01 July?
    Originally posted by OceanSound
    First, Tesco Bank operates on the principle that every day is a working day, so transactions will occur without regard to whether it is a weekend day or bank holiday. This makes Tesco very useful if you need a future-dated payment to go out on, say, a Sunday; payments will go out on the date specified with no waiting for the next working day as at "traditional" banks.

    Interest is paid on the day of the month you opened the account - one of my accounts also pays interest on the 30th and you'll get it whatever the day of the week it is. It'll appear on the last day of February (28th or 29th). But it won't be credited to your account until late in the day, so effectively you won't be able to withdraw the interest until the following day. You'll get an email on the day following the interest payment - I use that as the reminder to check the account and move the interest.

    If you'd opened the account on the 31st, you'd receive the interest on the 30th for 30-day months. The payment would, of course, only be for 30 days.
    • OceanSound
    • By OceanSound 8th Jul 18, 3:45 PM
    • 367 Posts
    • 58 Thanks
    OceanSound
    ...You'll get an email on the day following the interest payment
    Originally posted by pafpcg
    I received an email on 01 July saying the statement (including notification of fees and interest) is available to be viewed in the document store.
    When I checked statement, it had the following:
    During this statement month you have met the conditions to receive the 2.96% rate of credit interest.
    I've seen on this forum that members receiving 7.50 or 7.51 per month interest. That's interest at 3.00%. If the rate is 2.96%, I'm bound to receive less than 7.50/7.51. How come?
    I use that as the reminder to check the account and move the interest
    Good idea. To satisfy the pay in part of the condition, I presume we can move 750 to a Tesco online savings account, then move it back.... Terms and conditions says 'pay in at least 750'. What I've just described does that, no?
    • pafpcg
    • By pafpcg 8th Jul 18, 4:15 PM
    • 266 Posts
    • 252 Thanks
    pafpcg
    To satisfy the pay in part of the condition, I presume we can move 750 to a Tesco online savings account, then move it back....
    Originally posted by OceanSound
    Yes! That'll be enough.
    • pafpcg
    • By pafpcg 8th Jul 18, 4:24 PM
    • 266 Posts
    • 252 Thanks
    pafpcg
    I've seen on this forum that members receiving 7.50 or 7.51 per month interest. That's interest at 3.00%. If the rate is 2.96%, I'm bound to receive less than 7.50/7.51. How come?
    Originally posted by OceanSound
    The interest rate is 2.96% GROSS (3%AER). If you keep 3,000 balance for the full month and meet the terms, you should be credited with 7.54 in 31-day months and 7.29 in 30-day months.
    • OceanSound
    • By OceanSound 21st Aug 18, 7:14 AM
    • 367 Posts
    • 58 Thanks
    OceanSound
    The interest rate is 2.96% GROSS (3%AER). If you keep 3,000 balance for the full month and meet the terms, you should be credited with 7.54 in 31-day months and 7.29 in 30-day months.
    Originally posted by pafpcg
    Received 7.54 interest on 31 July. (my statement month for current account1 runs from 1 July 2018 31 July 2018)
    Last edited by OceanSound; 21-08-2018 at 7:42 AM.
    • OceanSound
    • By OceanSound 21st Aug 18, 7:34 AM
    • 367 Posts
    • 58 Thanks
    OceanSound
    Careful guys. The monthly pay-in has to be done within your statement month. Wheras the DD's done within calendar month (from what I understand).

    For current account2 (opened around 06 July 2018) I nearly made the mistake of doing the pay in for August on 02 August. Of course, it wouldn''t have counted!. I just realized this now. So jimmied 750 from savings account to current account2 today. I reckon use pafpcg's trick for next time or set recurring reminder on mobile.
    ... You'll get an email on the day following the interest payment - I use that as the reminder to check the account and move the interest...
    Originally posted by pafpcg
    Never take your eye off the ball..THat''s my motto.
    • OceanSound
    • By OceanSound 25th Aug 18, 3:21 PM
    • 367 Posts
    • 58 Thanks
    OceanSound
    .... Wheras the DD's done within calendar month (from what I understand).
    Originally posted by OceanSound
    Actually, DD's (excluding direct debits to Tesco Bank savings accounts) also have to paid out within statement month, as mentioned on post #29
    • colsten
    • By colsten 25th Aug 18, 6:03 PM
    • 9,223 Posts
    • 8,069 Thanks
    colsten
    Actually, DD's (excluding direct debits to Tesco Bank savings accounts) also have to paid out within statement month, as mentioned on post #29
    Originally posted by OceanSound
    There are no DDs to Tesco savings accounts any longer.
    • OceanSound
    • By OceanSound 26th Aug 18, 9:08 AM
    • 367 Posts
    • 58 Thanks
    OceanSound
    There are no DDs to Tesco savings accounts any longer.
    Originally posted by colsten
    I think you are correct. Just now checked by logging in to the app and website. No option to setup Direct debit at all.

    Although, I must say, when I checked the tesco bank website yesterday (before posting #49) it said:
    To earn 3% AER credit interest on balances up to 3,000 until 1 April 2019, simply pay in at least 750 and pay at least three Direct Debits each statement month (excluding Direct Debits to Tesco Bank savings accounts)
    And that corroborated with what the member in post #29 said.

    Also, when I asked a question about the DD's and the 750 pay in on the Tesco community, a community expert posted a reply saying:
    ..at least three direct debits paid from your account per statement month (excluding direct debits to a Tesco Bank savings account) ...
    I'm getting the feeling that they are simply copying and pasting from the Tesco Bank website, which is, suffice to say, a little bit behind on up to date info.
    • ColdIron
    • By ColdIron 26th Aug 18, 10:55 AM
    • 4,558 Posts
    • 5,847 Thanks
    ColdIron
    That's for a current account, not a savings account
    • TheShape
    • By TheShape 26th Aug 18, 11:54 AM
    • 1,399 Posts
    • 1,270 Thanks
    TheShape

    To earn 3% AER credit interest on balances up to 3,000 until 1 April 2019, simply pay in at least 750 and pay at least three Direct Debits each statement month (excluding Direct Debits to Tesco Bank savings accounts)
    It was and is still correct. Direct Debits to Tesco Bank Savings accounts are excluded from counting towards the three DDs required to earn interest on the Tesco Bank Current account.

    Of course, you can't now set up a DD to your Tesco Bank savings account so it's all rather academic.
    • OceanSound
    • By OceanSound 26th Aug 18, 11:57 AM
    • 367 Posts
    • 58 Thanks
    OceanSound
    That's for a current account, not a savings account
    Originally posted by ColdIron
    If "There are no DDs to Tesco savings accounts any longer." as you say, then the part "excluding Direct Debits to Tesco Bank savings accounts" shown on the Tesco Bank Website is redundant.
    i.e.There is no practical need for it.
    • OceanSound
    • By OceanSound 26th Aug 18, 12:18 PM
    • 367 Posts
    • 58 Thanks
    OceanSound
    It was and is still correct. Direct Debits to Tesco Bank Savings accounts are excluded from counting towards the three DDs required to earn interest on the Tesco Bank Current account.

    Of course, you can't now set up a DD to your Tesco Bank savings account so it's all rather academic.
    Originally posted by TheShape
    I think he should have said 'you cannot setup a DD to a Tesco Saver account anymore'' in post #50.

    This is assuming that it was possible before and no longer possible. If it's no longer possible FROM a tesco current account only this should have been mentioned. I personally think it applies to setup from any bank account.
    • ColdIron
    • By ColdIron 26th Aug 18, 12:24 PM
    • 4,558 Posts
    • 5,847 Thanks
    ColdIron
    I think he should have said 'you cannot setup a DD to a Tesco Saver account anymore'' in post #50.
    Originally posted by OceanSound
    • There are no DDs to Tesco savings accounts any longer.
    Talk about splitting hairs
    • OceanSound
    • By OceanSound 26th Aug 18, 12:37 PM
    • 367 Posts
    • 58 Thanks
    OceanSound
    • There are no DDs to Tesco savings accounts any longer.
    Talk about splitting hairs
    Originally posted by ColdIron
    Thanks. But I think we are getting sidetracked. The Tesco website condition I mentioned in post#51 applies to new customers. Why would the new customer need to be bombarded with info that dosen't apply to him/her any longer.

    If it's practically impossible to setup a direct debit to a tesco bank saver account from a tesco bank current account, why would they need to inform the customer just because it used to be possible (and it would have counted towards the 3x direct debits).

    Surely that historic info is available through forums like MSE and this one:
    https://yourcommunity.tescobank.com/t5/Help-Support/changes-to-direct-debits-and-Internet-saver-accounts/td-p/14711
    • colsten
    • By colsten 26th Aug 18, 6:43 PM
    • 9,223 Posts
    • 8,069 Thanks
    colsten
    I think you are correct. Just now checked by logging in to the app and website. No option to setup Direct debit at all.

    Although, I must say, when I checked the tesco bank website yesterday (before posting #49) it said:

    And that corroborated with what the member in post #29 said.

    Also, when I asked a question about the DD's and the 750 pay in on the Tesco community, a community expert posted a reply saying:

    I'm getting the feeling that they are simply copying and pasting from the Tesco Bank website, which is, suffice to say, a little bit behind on up to date info.
    Originally posted by OceanSound
    I know I am correct in saying there are no DDs to Tesco savings accounts any longer (not least because I had to find over a dozen alternative DDs when they stopped this facility earlier this year).

    What I did not know, however, is that Tesco themselves haven't updated their own website, to remove the now redundant information about DDs to their savings accounts. I do know that now, thanks for the clarification!
    • OceanSound
    • By OceanSound 31st Aug 18, 5:18 PM
    • 367 Posts
    • 58 Thanks
    OceanSound
    ...(not least because I had to find over a dozen alternative DDs when they stopped this facility earlier this year).
    Originally posted by colsten
    How come over a dozen?...3x DD's per account...for 4 accounts? Sounds tedious.

    the six DDs I managed to setup for 2 tesco current accounts were hard work. But, lately I've found a couple of DD"s that can be invoked every week. So, I only need those two DDs now (one for each current account).
    • colsten
    • By colsten 31st Aug 18, 6:06 PM
    • 9,223 Posts
    • 8,069 Thanks
    colsten
    How come over a dozen?...3x DD's per account...for 4 accounts? Sounds tedious.

    the six DDs I managed to setup for 2 tesco current accounts were hard work. But, lately I've found a couple of DD"s that can be invoked every week. So, I only need those two DDs now (one for each current account).
    Originally posted by OceanSound
    I have accounts other than Tesco current accounts which require DDs. In fact, my Tesco current accounts are of the old variety which don't need any DDs.
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