Best savings account?

[Raymond Lin]

Chip it is.

Anyone else want to chip in before I commit?

I am risk adverse by nature so kinda spread mine out, £5k in Barclays Rainy day as that is 5%, some in Chase, but are depositing into Chips from now on until I hit that magical £1000 in interest per year mark. By which I will consider other options like more into ISA or SIPP.

 

[Maccy]

With so many looking to join Chip, it's a shame they aren't doing referrals at the moment.

Has anyone put money into the Chip Prize Saving Account?

They do have a referral it seems, so if anyone has a code they’d like to send my way I’d be grateful (post here first to claim so I don’t get inundated!)

 

[Raymond Lin]

Why does it say in Chips, in the Profile

Under the bank
34 days until connection expires

Under Your membership
Chip - 27 days left

What do they mean?

 

[413x]

I am risk adverse by nature so kinda spread mine out, £5k in Barclays Rainy day as that is 5%, some in Chase, but are depositing into Chips from now on until I hit that magical £1000 in interest per year mark. By which I will consider other options like more into ISA or SIPP.

I've got some spread around. Utilising the high interest regular savers
But now need to store my van fund up until ready to buy. Chip seems good bet from what I've read

 

[topgun06]

Why does it say in Chips, in the Profile

Under the bank
34 days until connection expires

Under Your membership
Chip - 27 days left

What do they mean?

You need to keep refreshing the open banking connection with your bank.

Chip offers monthly plans. The default one is free, but it auto renews every month.

 

[~Mike~]

They do have a referral it seems, so if anyone has a code they’d like to send my way I’d be grateful (post here first to claim so I don’t get inundated!)

Seems to be unavailable at the moment. https://www.getchip.uk/legal/referral

Nothing is showing under Promos & Referral in my profile on the app.

 

[Dg834man]

Newcastle BS offering 4.3% just applied for a account to shift money from santander thats stuck at 3.2%

 

[Relentless81]

Thicko here, need help with a theoretical question please!

If PSA is £1000 and £80 a month in interest is hit so £960 a year what is the best course of action to avoid paying tax on interest please?

Keep it where it is and don't pay in anymore, open an ISA instead or transfer it all to an ISA?

I've literally at 42 years old only just found out about PSA and want to plan ahead so I think I have the £1000 limit and know very little about ISAs and need to do some serious reading!

 

[ci_newman]

Thicko here, need help with a theoretical question please!

If PSA is £1000 and £80 a month in interest is hit so £960 a year what is the best course of action to avoid paying tax on interest please?

Keep it where it is and don't pay in anymore, open an ISA instead or transfer it all to an ISA?

I've literally at 42 years old only just found out about PSA and want to plan ahead so I think I have the £1000 limit and know very little about ISAs and need to do some serious reading!

ISA is absolutely the best way forwards to avoid tax on interest if you have allowance left

 

[Relentless81]

ISA is absolutely the best way forwards to avoid tax on interest if you have allowance left

Sorry when I say I'm thick when it comes to numbers I mean I'm really, really thick.

Talk to me like I'm 10 years old. Keep the money where it is and change monthly deposit to new ISA or transfer it all to new ISA please?

I will read more on this but kind of keen to understand it now!

 

[Raymond Lin]

Sorry when I say I'm thick when it comes to numbers I mean I'm really, really thick.

Talk to me like I'm 10 years old. Keep the money where it is and change monthly deposit to new ISA or transfer it all to new ISA please?

I will read more on this but kind of keen to understand it now!

As long as your current savings' interest doesn't hit above £1000 in a year, April 5th to April 5th the following year, then you can leave the current lump as they are. Obviously, you will need to skim off the interest on top and move them out because that is constantly adding to the pot. And that is also means the interest rates are not rising. If the interest rates are rising to the point that the annual total of interest received is more than £1000 then you need to reduce the amount kept in savings accounts.

And new money savings (from wages/income) you add in, and any interests from this pot, will need to move into ISA or any tax relief pot, or spend it on booze or something. Basically, to stop your savings generate over £1000 in interest per year.

...thats how I understand it.

 

[Dirk Diggler]

Sorry when I say I'm thick when it comes to numbers I mean I'm really, really thick.

Talk to me like I'm 10 years old. Keep the money where it is and change monthly deposit to new ISA or transfer it all to new ISA please?

I will read more on this but kind of keen to understand it now!

Keep the money where it is if it's going to gain £960 per year, because £960 is less than £1000.

For any other savings in the same year, you need to use an ISA if you want to avoid paying tax - but make sure the ISA is offering at least 3.5% return.

 

[Jono8]

Finding and sticking with a good easy access saver is now exhausting with things changomg all the time

Honestly, I hate the ******* modern world.

 

[Dirk Diggler]

Finding and sticking with a good easy access saver is now exhausting with things changomg all the time

Honestly, I hate the ******* modern world.

Just leave it where it is if the alternative is only marginally better; work out what you'll gain in comparison to how much you value your time.

 

[413x]

Just leave it where it is if the alternative is only marginally better; work out what you'll gain in comparison to how much you value your time.

A few fractions on a percent is rarely worth the time unless your work pay is really low and savings is really high. But this would be unusual

 

[200sols]

Talk to me like I'm 10 years old.

Stick it all on red.

 

[wingman]

Finding and sticking with a good easy access saver is now exhausting with things changomg all the time

Honestly, I hate the ******* modern world.

Exhausting? Over what, a percent or two? If that's big money for you then you've already won the game.

Just stick it all on Chip/Chase and leave it.

 

[Relentless81]

Thanks for the answers, confirmed what I thought without me having to read the same stuff over and over until it sinks in!

One more question, if you do go over the £1000 and didn't do anything, do you get taxed 20% on the total Inc the thousand or just anything over that £1000 so if you earned £1020 interest you would get taxed on the £1020 or the £20?

 

[200sols]

Thanks for the answers, confirmed what I thought without me having to read the same stuff over and over until it sinks in!

One more question, if you do go over the £1000 and didn't do anything, do you get taxed 20% on the total Inc the thousand or just anything over that £1000 so if you earned £1020 interest you would get taxed on the £1020 or the £20?

£20

 

[photoshop]

This is doing my head in!!

Opened a Chip savings account which was very smooth but then linked my HSBC account for open banking to make transfers. However, I'm moving money from my Chase account in to my HSBC account and then transferring over to Chip. Every time I make a transfer HSBC blocks it and things it's fraudulent and I have to spend half an hour on the phone to get it realised which takes another few hours for the payment to land in my Chip account. I've had to do this 3 times in the last 2 days and it's doing my head in!! I've got several more transfers yet to do!!