Firstdirect 1st Account and Regular Saver (or other reg saver)

DJMK4

DJMK4

DJMK4

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Hi all,

Looking to set-up a regular saver alongside my H2B ISA with Halifax.

Problem is with these regular savers is you usually have to switch your current account to them to benefit (which sometimes comes with a switching bonus).

I can see that First-direct are doing one.

I have 2 current accounts active with Lloyds (one main one for moving money/bills)

My Halifax account I have a current account *not in use* and has £0 balance, and I have the Help2Buy ISA with Halifax.

Could I essentially open the 1st Account with First direct and switch the not in use Halifax current account to it if I transfer some money to the Halifax account through to the FirstDirect current account - build up paying in £3k within 3 months, although these funds will likely then be transferred from the First direct current account in to their regular savings account.

Or does it not work like that?

Also just noticed that FirstDirect charge a fee of £10p/m unless you pay in over £1000 each month, which wouldnt work, as I am not intending to use this as my day to day current account with salary going in.

Basically I am looking for a high(er) interest regular savings account that I dont have to have a current account and pay in to if possible, as I like to keep my savings in separate viewing to my current account.
 
you can pay £1000 in and take it straight back out again. I do this with my TSB current account. It pays 4% on up to £2k and it currently has £2k in it so on the same day I get paid I transfer £500 in to TSB, take it back out again to my original account and then when the interest is paid I skim it off to my savings.

Reading some peoples threads on MoneySavingExpert people have 7 or 8 of these accounts, all moving money around constantly to benefit from the extras. i haven't gone that mad.

edit: plus when I moved my current account from Halifax to FirstDirect I also got the higher rate of £150 paid in to my account (niceeee) thanks to a link through MSE too.

edit 2: Only annoying thing about FirstDirect higher rate saver is I couldn't pay a lump sum in, it's a maximum of £300 a month up to £3000. I had my bonus paid last month but I couldn't put a large amount in so what's left (£900) is currently sitting in regular saving earning a pittance of interest
 
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Open a 123 current account and use it as a saver? That's what I'm doing. Transfer the necessary amount (£500) from your day to day current account to the 123 on payday then transfer it straight back minus any you want to leave in there as savings. Just need 2 direct debits on the 123.

Might be missing your point though!
 
Cool cheers, that leaves a bit of flexibility then if you pay in and can take out or "forward" it.

I will have a bit more of a read on FirstDirect, could be the viable option along with their £100 switch, I could use the Halifax current account I no longer use to switch from.

Only thing is with that account is making sure I hit the £1000 target each month (even if I take it out again) to ensure im not charged the £10p/m fee
 
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[TW]Fox;29448911 said:
This is now only the best option if you have more than £9000 in savings, otherwise the extra interest is cancelled out by the £5 a month fee.
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There goes my success having just opened one a couple of months ago then :rolleyes:

What's the new best option with ~5k?
 
Club Lloyds current account 4% at £5k limit? (Requires money paid in and 2 D/Ds)

Or £2500 in Nationwide Flex direct and £2000 in TSB, both at 5%, then put the other £500 in Halifax and get the £5 / month :p (All require money to be transferred through each month and Halifax needs some D/Ds, Nationwide and TSB don't)



Edit : I see what Fox is saying now
 
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Freakbro said:
Club Lloyds current account 4% at £5k limit?

Though does it take 9000 to cover the monthly fee at Santandar? Especially as interest is now paid gross not net

Just going to check...
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doesnt take that much to cover the fee, just there are better alternative options under that amount.
 
https://www.bankaccountsavings.co.uk

This website is really useful, if you have 5k go for the TSB classic plus, use standing orders to meet the interest target. And also make use of the 5% contactless cashback.

Then for the second account you should go with club lloyds. However, I would also recommend opening up a first direct account too. For example if you have a current account with someone else, switch to first direct and open up a regular savers accounts and put in the maximum each month. Then open up TSB classic plus and Club lloyds.
 
TSB Classic Plus, Club Lloyds, Nationwise Flex Plus and Tesco Bank. All return between 5% - 3%.

If drip feeding, check your current bank or building society as they normally have linked monthly savers which have attractive rates. HSBC for example have a 6% regular saver for Advance or Premier account holders.
 
I tried First Direct and found them appalling to deal with. Took almost a month before they contacted me or sent me any information after my application. Then despite being registered at my address for over 3 year and on the electoral register, they couldn't seem to find me and asked that I supply a certified photocopy of some ID. Oddly you couldn't take this into a HSBC branch, it had to be certified by an individual who is a member of the FCA or Solicitor (but not working on behalf of their firm).

Then after all that they were asking me to show them somewhere where my telephone was listed so that they can double check it.

Told them to sod off in the end, and opened an account elsewhere with no fuss.
 
Skillmister said:
There goes my success having just opened one a couple of months ago then :rolleyes:

What's the new best option with ~5k?
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You should also factor in any cashback on direct debits with the 123 account. If you can transfer any DDs over it will offset the monthly fee. Currently virtually all my DDs come from my 123 and the monthly cashback pays for the £5 monthly fee.
 
DJMK4 said:
I will have a bit more of a read on FirstDirect, could be the viable option along with their £100 switch, I could use the Halifax current account I no longer use to switch from.
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Recently did the same, was interested in the 6% regular saver and also switched to take advantage of the £100.
Only thing is with that account is making sure I hit the £1000 target each month (even if I take it out again) to ensure im not charged the £10p/m fee
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You don't get charged the £10 fee for the first 6 months, beyond that you just need an average balance or payments of £1000 afaik.
englishpremier said:
I tried First Direct and found them appalling to deal with...
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I found the set up fairly smooth, got all the bits through the post couple days later. For the phone banking it's a nice surprise to have a real person pick up after only a couple rings rather than the usual automated systems. My only criticism would be their online banking site and app are a bit clunky and seems to be a lot of different security questions/passwords to remember.
 
I'm still unsure on what to go for. Just looking for an account I can stick some money in which will earn 5-6% that I don't have to worry about moving 1k through every month or having DDs setup.

So 6 months you don't get charged a fee, after the 6 month you need to transfer 1k in and then out again to not be charged a fee?. How long did it take for your switch bonus to come through?
 
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Well, the Tesco is the least hassle with £3000 @ 3% interest with no conditions at all.

Then it's TSB with £2000 @ 5% and you just need to transfer £500 through it (and go paperless correspondence)

The rest pretty much all need x amount paid in and D/Ds. So it depends how much initial hassle you want to set it all up - because to be fair, once it's all done, it's not that much hassle to transfer money across the accounts once a month

I've got ~7 current accounts and it takes me 10 mins once a month.

On a side note, those regular savers aren't as good as they look and only worth it if you have nothing else to do with that money eg: I'm currently using the Nationwide one £500 / momnth @ 5% - but after the year the interest will only work out at 2.71% on the saved £6000
 
Cheers, I will have a think and decide, its basically for the rest of the month I have saving and sitting in bonds as the rest is going in to places already.
 
DJMK4 said:
..worry about moving 1k through every month or having DDs setup...

So 6 months you don't get charged a fee, after the 6 month you need to transfer 1k in and then out again to not be charged a fee?.
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Aye, the 6 month thing is in the T&Cs. Beyond that it's easy to set up a couple of standing orders to cover the £1k.
How long did it take for your switch bonus to come through?
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My switch doesn't go through for a few days yet but I've heard usually <1 week.
 
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