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Best savings interest rates
Tim D
Posted: 19 September 2024 22:09:50(UTC)
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Busy doing nothing;319605 wrote:
As above Kim's post, The average rate on a regular saving account is half the percentage figures quoted.
So as an example 7% regular saver would work out as 3.5% total return over 12 months.


That's only true if the cash you have sitting outside the 7% account waiting to be paid in is earning zero. If it's actually in an account earning say 4% while it's waiting, then the combo would give you more like (4%+7%)/2 = 5.5%, over the period it took to completely transfer the cash from the lower to the higher yielding account.

(Suspect this averaging is only true as a simplistic "first approximation"; to be completely accurate compounding would need to be taken account of too.)
6 users thanked Tim D for this post.
Jay P on 19/09/2024(UTC), ANDREW FOSTER on 19/09/2024(UTC), Peter Dixon on 20/09/2024(UTC), Sheerman on 20/09/2024(UTC), OmegaMale on 20/09/2024(UTC), kim shillinglaw on 09/10/2024(UTC)
Andy JR
Posted: 20 September 2024 12:04:12(UTC)
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Barclays pays 5.00% monthly on balance Up to £5k, equal to AER 5.2% in the rainy day saver account.
Account available to blue rewards and premier account holders.
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Fife Clive on 21/09/2024(UTC), kim shillinglaw on 09/10/2024(UTC)
John Bran
Posted: 20 September 2024 13:51:28(UTC)
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Busy doing nothing;319605 wrote:
As above Kim's post, The average rate on a regular saving account is half the percentage figures quoted.
So as an example 7% regular saver would work out as 3.5% total return over 12 months.


If you borrow £1,000 from bank at 7% and pay it back monthly you will pay back £1,035. Nobody counts that as 3.5% including yourself. You count it as 7%
Why when your lend to a bank a £1,000 in equal installments over 1 year you will receive back £1,035 why are you counting this as 3.5%?
The money I pay in comes from a 5.25% savings account.
1 user thanked John Bran for this post.
Tim D on 21/09/2024(UTC)
John Bran
Posted: 20 September 2024 13:53:53(UTC)
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Chip easy access is 5% no more than 3 withdrawals a year otherwise it falls
If you can find someone to give you a code they will give you a 0.26% bonus for 90 days.
John Bran
Posted: 20 September 2024 14:19:37(UTC)
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kim shillinglaw;319598 wrote:

How much time does this take? (a question meant seriously, not sarcastically - it's very impressive). do you definitely feel its worth it?


Open account over internet.
Set up standing order in my first direct account.
Set reminder in phone to move money from instant access accounts to first direct to cover standing order.

Today I received over £200 interest on a Yorkshire savings account.
The money all comes from credit cards. So it's somebody else's money that is paying the inflation rate.
Also it is possible just to put into easy/instant sccess accounts.
The regular savers add the real work, if you can call it that.
Although there is nothing really stopping me setting all regular saver accounts to the same day.
I will get round to doing that ...one day
3 users thanked John Bran for this post.
Peter Dixon on 20/09/2024(UTC), Silas on 20/09/2024(UTC), kim shillinglaw on 09/10/2024(UTC)
Peter Dixon
Posted: 20 September 2024 14:28:37(UTC)
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kim shillinglaw;319598 wrote:

How much time does this take? (a question meant seriously, not sarcastically - it's very impressive). do you definitely feel its worth it?

They're most useful for the target customer: people who have a small amount of cash spare each month and want to earn a bit of interest. Less useful for lump sums or larger amounts. John seems to do a spot of CC stoozing to max his returns.

The T&Cs are all different: most have variable rates, and many don't allow withdrawals before the term or have restrictions. Some allow as little as £50 pm max, but I have seen up to £1000 a month in the past. You can pay them by standing order, which could mean having money sitting in a current account earning zilch for a bit. With Chase you can pay standing orders from their savings accounts.

The best payers often require a current account to be opened and several offer EA accounts with better rates for current account customers, eg Santander has an easy access account wiith faster payments etc paying 7% on up to £4k.

You also have to be realistic about how much you gain. For the 7% Yorkshire RS the max you can pay in is £50 pm, so you could have £600 at the end of a year, but the average balance you have would be just over £300. So £300 x 7% = £21 interest.

So very good for the target customer with a spare £50 each month but perhaps not so good for someone with a lump sum. They could put their £600 in an ordinary easy access account and get 5%, e.g. Santander Sunny Day, or a blended rate of 6% using the RS + EA saver.

That would give them 1% or £6.00 more for their trouble than just having the whole amount in the EA account where they wouldn't t be limited to £600. Or they could use a 1 year fixed rate account. I got a 5.40% 1 year fix last month and Ulster Bank (a trading name of Natwest Group) currently have a 5.2% EA for £5k+ reducing to 4.75% from 10 October.

Have a peak at the MSE board, there are people there juggling a dozen or more accounts, carefully timing payments, and seem to enjoy it as a hobby. I get quite enough fun paying my council tax bill each month. Horses for courses, as they say.
4 users thanked Peter Dixon for this post.
Guest on 20/09/2024(UTC), Jay P on 20/09/2024(UTC), Silas on 20/09/2024(UTC), kim shillinglaw on 09/10/2024(UTC)
John Bran
Posted: 21 September 2024 11:50:07(UTC)
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Replacement for my Yorkshire 7% loyalty regular saver was up to £250 a month
NOW
New Loyalty Regular eSaver 5.65% upto £250 a month. One withdrawal a year maximum.

Tight arses.
Harry Gloom
Posted: 21 September 2024 12:12:59(UTC)
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I can't be arsed with all this chasing interested rates up and down the high street. I have our £15K emergency fund in a cash ISA earning 2.65% but wouldn't care if it was earning zero interest.

The bulk of our retirement cash buffer is being accumulated via salary sacrifice inside my pension, around £80K so far earning 5% BOE base rate with no AMC.
2 users thanked Harry Gloom for this post.
Andrew1952 on 24/09/2024(UTC), kim shillinglaw on 09/10/2024(UTC)
clue*less
Posted: 21 September 2024 12:31:53(UTC)
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John Bran;319307 wrote:
My present regular savers.


The money is kindly supplied by credit card companies using zero interest and zero fee credit cards. And occasionally zero interest spending cards.
I am at the moment having the money paid into a credit card with no debt and then transferring it into my bank account and then into a savings account.
Sweet or what?


What credit cards are there these days that allow interest free cash advance AND WITHOUT a fee?
1 user thanked clue*less for this post.
Newbie on 21/09/2024(UTC)
John Bran
Posted: 21 September 2024 15:47:08(UTC)
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clue*less;319719 wrote:
John Bran;319307 wrote:
My present regular savers.


The money is kindly supplied by credit card companies using zero interest and zero fee credit cards. And occasionally zero interest spending cards.
I am at the moment having the money paid into a credit card with no debt and then transferring it into my bank account and then into a savings account.
Sweet or what?


What credit cards are there these days that allow interest free cash advance AND WITHOUT a fee?


I have £8,500 NatWest 19 months zero interest zero fee.
And I have just taken out ANOTHER! NatWest £8,750 13 month zero interest zero fee credit card.
They are getting harder to find. I often find going direct can turn up some very good deals.
Wary of fees as a 3% fee on 1year balance transfer is equal to 6% interest.
IE front loaded Mafia interest rates (literally).
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