treeman
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Post by treeman on Nov 6, 2015 16:43:43 GMT
AIUI Tesco Current Account offers 3% up to £3k (hardly earth shattering but....) and has no pay-in requirements/DDs/monthly fees.
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treeman
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Post by treeman on Nov 6, 2015 16:49:14 GMT
Very easy indeed - my non-earning wife has several, and meets the monthly deposit requirements through set-up and forget standing orders. Several of the best ones have switching offers that improve the returns further (£675 for us in the past 6 months) and referral deals in some cases (£200 in the same period), and most have monthly saver accounts offering 4-6% which can be renewed every year. All it takes is a spreadsheet... Despite 6 figure savings, no debt, I got turned down on a couple for no income, wish I had your wife's charm! AIUI Tesco Current Account offers 3% up to £3k (hardly earth shattering but....) and has no pay-in requirements/DDs/monthly fees. reposted having stuffed up the quote previously  Too many tabs open .... this multi-tasking business needs more work 
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webwiz
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Post by webwiz on Nov 6, 2015 17:46:07 GMT
Can't understand why you don't just set a rate that you're happy with then 'leave and forget it'. You won't get stung at 1.3% again. Set a sensible level and it won't hang about for more than a couple of days. Better still, shift some of it into Annual, 3 or 5 year also using your own rate. Perhaps RS could introduce a "floor rate" e.g. my rate is no lower than 3.3% but I'll take 3.4% if the market rate floats higher. This seems like such a good idea I am surprised that RS haven't thought of it... IIRC that's how it used to be but for some reason they changed it. Now you have a choice of being mostly below the MR but avoiding being stung or accepting occasional stupidly low rates. It does not suit me but please don't post that you disagree, just carry on investing with them if you are happy.
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oik
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Post by oik on Nov 6, 2015 18:39:24 GMT
Despite 6 figure savings, no debt, I got turned down on a couple for no income, wish I had your wife's charm! Some banks just ask for an income figure but not whether it's earned/pension or investment income. When I popped into a high street bank to open an account I was asked my total income: I asked whether they wanted dividend and crystalised or uncrystalised capital gains included because it varied each year and I hadn't a clue off the top of my head. I was told to just think of a number and that would be fine. So I assume it wasn't critical for them. Nor is having lots of other current accounts. I've never had an application queried but my understanding was they don't normally give a reason for refusing an application and their mechanisms are difficult to fathom. None of them require any minimum monthly pay in to come from income and, with only a couple of exeptions, don't object to just internal transfers between accounts with them. My RS strategy, such as it is, is not to lock into cash long-term and only use P2P when the return offers a decent premium over the no-risk alternatives for cash.
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elliotn
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Post by elliotn on Nov 7, 2015 12:51:18 GMT
Ok, after couple of years with a chunky 5 fig sum on MR yesterday I took the plunge to manage my 5 year loans (5.5%, dragged down by 2013) into 3 year and monthly rates of my own choosing to (belatedly) mitigate interest rate risk.
Today, I reverted to 5 years but at my rate to lock in ahead of the ISA deluge, taking the latter as the more immediate known unknown.
What's market expectation for ISA pick up - are you fixing your rates now in case of a precipitous drop even if base rates are expected to move next year+?
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am
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Post by am on Nov 7, 2015 22:10:47 GMT
Nor is having lots of other current accounts. I've never had an application queried but my understanding was they don't normally give a reason for refusing an application and their mechanisms are difficult to fathom. None of them require any minimum monthly pay in to come from income and, with only a couple of exeptions, don't object to just internal transfers between accounts with them. My RS strategy, such as it is, is not to lock into cash long-term and only use P2P when the return offers a decent premium over the no-risk alternatives for cash. A couple of so years ago Halifax tried to sell me a a current account upgrade (at the same time they were trying to sell me private banking), only to find that I wasn't eligible due to the lack of salary, benefit and pension payments.
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oik
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Post by oik on Nov 8, 2015 12:46:02 GMT
A couple of so years ago Halifax tried to sell me a a current account upgrade (at the same time they were trying to sell me private banking), only to find that I wasn't eligible due to the lack of salary, benefit and pension payments. It may have been a good miss. Some of the "premium" current accounts have very specific income or investable asset requirements and I suspect it's that air of exclusivity that's the attraction for some. I've never seen much value in them for me and certainly not in what's now marketed as "private banking" with my own personal investment salesman. Usually not much in common with traditional private banking of old. Current accounts paying good interest are more attractive. There are plenty on offer and if one had turned me down I think I'd be checking out the others.
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Post by Financial Thing on Nov 9, 2015 23:21:46 GMT
I just can't be bothered with these current accounts. Talking about what, £90 for a year worth of interest at 3% on £3k. Plus its variable % rate.
Giving money to the big corporate banks is last on my list. I'd rather do Kiva.
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oik
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Post by oik on Nov 10, 2015 12:33:53 GMT
I just can't be bothered with these current accounts. Talking about what, £90 for a year worth of interest at 3% on £3k. Plus its variable % rate. Giving money to the big corporate banks is last on my list. I'd rather do Kiva. Not exactly. I currently have around £150k in my own and Mrs oik's current accounts, all paying between 3.00-5.00%, i.e around £5k pa. How long it stays there depends on how I see the wind blowing for other investment opportunities as, unlike most P2P, every pound is instantly accessible penalty free when I want it. (Then there are the various regular savings accounts paying similar rates if they float your boat.) Suggest you do some research. Nor is it giving money to the big banks as they're obviously loss-leaders, and the rate hasn't changed for any for years afaia. But obviously, if you prefer to tie up your cash for years to ensure a more comfortable lifestyle for the owners of P2P platforms, then that that sort of altruism is always heart-warming to behold. They'll be very grateful.  That's not to say that, at the cost of some risk, there isn't money to be made on some P2P platforms, but the people out there placing money below the return from a current account plus an additional worthwhile risk premium probably need their money looked after by someone more sensible.
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Post by Financial Thing on Nov 10, 2015 13:19:44 GMT
oik So far all I see is current accounts (TSB, Lloyds etc) offering small deposit allocations small sums or Santander up to £25k with the requirements of direct deposits and other hassles. Since you have found a no-nonsense method to place £150k @ 3-5% in current accounts (without having 10 current accounts), and you are obviously a brilliant researcher (and apparently very smart and savvy) maybe you'd be generous enough to share the specifics with the forum? I'm sure if we all knew how to do this, we would ditch our low % p2p options and sleep much better at night.
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oik
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Post by oik on Nov 10, 2015 14:08:43 GMT
oik So far all I see is current accounts (TSB, Lloyds etc) offering small deposit allocations small sums or Santander up to £25k with the requirements of direct deposits and other hassles. Since you have found a no-nonsense method to place £150k @ 3-5% in current accounts (without having 10 current accounts), and you are obviously a brilliant researcher (and apparently very smart and savvy) maybe you'd be generous enough to share the specifics with the forum? I'm sure if we all knew how to do this, we would ditch our low % p2p options and sleep much better at night. No, you've misunderstood, I do have more than 10 current accounts and you possibly also misunderstand the amount of hassle involved for anyone capable of setting up a SO or DD. I don't need to touch accounts from one month to the next other than to pick up the interest. For the amounts most people will want to hold as cash it's way less hassle than trying to get a reasonable return on the likes of Ratesetter without locking themselves in for years with only the unpredictabe "Sell out" option to bale them out. It hardly needs a lot of research and I and others posted details here only a few days ago. If you can't find them and are interested, then I'd be happy to find them for you or explain anything you don't follow but I'm not going to drag any horse to water. What interests me is that if people haven't researched and understood what's available from simple accounts with conventional banks then they're unlikely to be in a position to evaluate the more complex propositions from P2P.
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Post by Financial Thing on Nov 10, 2015 14:29:25 GMT
oik So far all I see is current accounts (TSB, Lloyds etc) offering small deposit allocations small sums or Santander up to £25k with the requirements of direct deposits and other hassles. Since you have found a no-nonsense method to place £150k @ 3-5% in current accounts (without having 10 current accounts), and you are obviously a brilliant researcher (and apparently very smart and savvy) maybe you'd be generous enough to share the specifics with the forum? I'm sure if we all knew how to do this, we would ditch our low % p2p options and sleep much better at night. No, you've misunderstood, I do have more than 10 current accounts and you possibly also misunderstand the amount of hassle involved for anyone capable of setting up a SO or DD. I don't need to touch accounts from one month to the next other than to pick up the interest. For the amounts most people will want to hold as cash it's way less hassle than trying to get a reasonable return on the likes of Ratesetter without locking themselves in for years with only the unpredictabe "Sell out" option to bale them out. It hardly needs a lot of research and I and others posted details here only a few days ago. If you can't find them and are interested, then I'd be happy to find them for you or explain anything you don't follow but I'm not going to drag any horse to water. What interests me is that if people haven't researched and understood what's available from simple accounts with conventional banks then they're unlikely to be in a position to evaluate the more complex propositions from P2P. Some of us actually enjoy the hands-on aspect on p2p. I especially like knowing I'm helping small businesses receive the financing, financing the very banks you are depositing with deny them each day. And as far as misunderstanding, can't misunderstand omission. But now I know, 10-100?? current accounts. Sounds like a pain + fiscally risky since some accounts earn less than inflation. All I've seen listed here is a suggested Tesco account for £3k which some people aren't applicable for (myself included). Haven't seen much else of interest that doesn't involve fiddling around with small sums which have to moved when the variable interest rate changes. And now if you'll excuse me, I have to be dragged back to my stable to receive new horseshoes.
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oik
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Post by oik on Nov 10, 2015 14:47:13 GMT
With all due respect almost all of that is pure nonsense and full of misunderstandings. But if you're happy then I'm happy. Take care
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Post by p2plender on Nov 10, 2015 15:46:34 GMT
"I especially like knowing I'm helping small businesses receive the financing, financing the very banks you are depositing with deny them each day"
yes I once thought that until I had a couple of businesses on FC stop bothering with repayments after just a couple of months. Just hoping RS and a few others I lend with are a little better a dd though the amount of early repayments I've been getting of late certainly has gained my attention.
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arbster
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Post by arbster on Nov 10, 2015 16:27:05 GMT
"I especially like knowing I'm helping small businesses receive the financing, financing the very banks you are depositing with deny them each day"yes I once thought that until I had a couple of businesses on FC stop bothering with repayments after just a couple of months. Just hoping RS and a few others I lend with are a little better a dd though the amount of early repayments I've been getting of late certainly has gained my attention. I too started my P2P journey with similar views, believing the rhetoric peddled by some sites that this is some kind of virtuous win-win, but actually in the majority of cases, it's just down to getting access to the cheapest money possible. This has been strongly evident on FC since there stopped being any pretence of obligation on borrowers to feel accountable to individual lenders. The businesses I lend to on FC are now judged on purely financial and other objective measures, rather than based on any feeling of social contribution. I strongly believe that in the hierarchy of debts, P2P debt is lowest in the minds of most failing businesses, so we'll lose our money before the suppliers, banks or relatives of the directors. So, like oik, I have 20+ low maintenance current/savings accounts holding a six-figure sum, all instantly available and earning post-tax interest equivalent to 3.2% on average, which would be somewhat higher if more of them were in my wife's sole name. They're low-maintenance because they run themselves, maintaining pay-in/-out requirements on a monthly cycle. RateSetter has its place, and I outlined my strategy previously - I do have a small amount in the Monthly, only where I don't have capacity in my mainstream accounts offering a higher rate. And my money is in RateSetter not because I think the recipients' lives are made better by using my money to buy things they can't afford, but because I believe the return is worth the risk for a small proportion of my capital.
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