Reply to: What do you do with your surplus cash?

[css_jay99]

thanks, I will persevere with CCbank.


I will also try the state bank of india account as well since 1.50% is quite high for easy access

[dty]

And annoyingly, you can't transfer directly between multiple Aldermore accounts. You have transfer money out to your nominated account then back in to you other Aldermore account. I have an easy access account, and 2 fixed term accounts

When you open a fixed term account you get the option to read the terms and conditions. If you do so, you'll find it says you can fund the account from your nominated (external) account or from an existing Aldermore account. This is a lie. As you've said, you can only fund from the nominated account. Unless things have changed in the last week, of course!

[TheFaQQer]

And annoyingly, you can't transfer directly between multiple Aldermore accounts. You have transfer money out to your nominated account then back in to you other Aldermore account. I have an easy access account, and 2 fixed term accounts

I've not tried, but I suspected that would be the case - my fixed term is there to pay the corporation tax, but by the time it's actually due, I generally have enough in the normal account. So I transfer from there back to Santander and then pay HMRC from there. The fixed-term one I then just fix for another year to cover this next lot of corporation tax, just in case.

[jmo21]

Aldermore has marginally better online banking, but it's really slow to use. I have no idea what they are doing, but it's frustrating because you have to go through a few screens to get to where you need to be, and then if you want to look at another account, you have to go back to the start to go to the new account. They will only accept money in from your nominated account - I made a transfer from the wrong account, and they rejected it. To be fair to them, though, they rang me straight away to explain what was happening.

Transfers from Aldermore show up the next day as well. If you are doing their fixed-term account, at the end of the year they will contact you to choose what to do with the money - last year I just opened a new account with it automatically. Slightly frustrating that it's a new account, though, rather than just keeping the same one for another year.

And annoyingly, you can't transfer directly between multiple Aldermore accounts. You have transfer money out to your nominated account then back in to you other Aldermore account. I have an easy access account, and 2 fixed term accounts

[TheFaQQer]

I have just registered with CCBank but they want me to send Payment by Business a/c Cheque which i binned 8yrs ago!.

since you have Aldermore & CCBank, how easy is it moving money back and forth with their easy access accounts .... especially since I will shifting money monthly from santander current account?

I opened the CCBank one with a cheque, and then everything else I've done has been online. I set up a £5 transfer from Sanatander first to check it went through, and once I saw it was there the next day, I just transfer electronically each month. Their online banking is pretty crap though - you have to register the account, then they send you a code and then they validate it. Takes a few days but it's OK - I only ever check it at the end of the month to put the interest into the accounts.

Doing a withdrawal from the notice account is dead easy - I did my first one last month. Just fill in the form online and then 30 days later (in my case) the money transferred back to Santander. They will only pay out to a nominated account, which is good.

---

Aldermore has marginally better online banking, but it's really slow to use. I have no idea what they are doing, but it's frustrating because you have to go through a few screens to get to where you need to be, and then if you want to look at another account, you have to go back to the start to go to the new account. They will only accept money in from your nominated account - I made a transfer from the wrong account, and they rejected it. To be fair to them, though, they rang me straight away to explain what was happening.

Transfers from Aldermore show up the next day as well. If you are doing their fixed-term account, at the end of the year they will contact you to choose what to do with the money - last year I just opened a new account with it automatically. Slightly frustrating that it's a new account, though, rather than just keeping the same one for another year.

[css_jay99]

I looked at SBI but their application process was a bit convoluted so I went elsewhere.

You can get 1.75% on a 95 day account with Cambridge and Counties Bank (Save 95 and 60 - Cambridge & Counties Bank - Small to Medium (SME) Commercial Lending) or 1.8% there on a one year bond.

I have just registered with CCBank but they want me to send Payment by Business a/c Cheque which i binned 8yrs ago!.

since you have Aldermore & CCBank, how easy is it moving money back and forth with their easy access accounts .... especially since I will shifting money monthly from santander current account?

[TheFaQQer]

I am currently looking at moving money out of Santander reserve account.

Aldermore is offering with 1.75% 1yr fixed rate.

State bank of india are offering 1.5% instant/easy access as well which seems to be the highest at the moment.

anyone with knowledge of state bank of india account?

cheers

I looked at SBI but their application process was a bit convoluted so I went elsewhere.

You can get 1.75% on a 95 day account with Cambridge and Counties Bank (Save 95 and 60 - Cambridge & Counties Bank - Small to Medium (SME) Commercial Lending) or 1.8% there on a one year bond.

[css_jay99]

I am currently looking at moving money out of Santander reserve account.

Aldermore is offering with 1.75% 1yr fixed rate.

State bank of india are offering 1.5% instant/easy access as well which seems to be the highest at the moment.

anyone with knowledge of state bank of india account?

cheers

[d000hg]

Invest it in wine and art, which you store in your home - charging the company a fee for the storage of course.

[TheCyclingProgrammer]

The danger is that if you then need to pay tax next year, you get charged interest for not paying that payment on account

True, but if you wait all the way up until the end of January to reduce your payments on account, by that point, you'll be almost 10 months through the tax year the payments on account should relate to so should have a pretty good idea of your plans and whether you can safely reduce them or not.

[TheFaQQer]

If the higher rate dividend is a one off, then you can just reduce your payments on account to nothing.

The danger is that if you then need to pay tax next year, you get charged interest for not paying that payment on account

[TheCyclingProgrammer]

Careful that you don't take a nice dividend, buy a house then realise that you're tax bill seems to be double what you thought it would be because of Payments on Account - which tie money up in HMRC's hands a year before they should be allowed it.

If the higher rate dividend is a one off, then you can just reduce your payments on account to nothing.

[TheFaQQer]

This makes for interesting reading. TheFaQQer that's some great advice you've given there, I'm definitely going to look into those Business Savings Accounts. In terms of the interest gained from leaving money in those accounts, how, and at what rate is it taxed?

It's income to the company, so 20% corporation tax.

[PTP]

I'm currently teetering on the edge of the higher rate tax bracket. This year and next I have/plan to take £15k out of my biz account to max out my ISA allowance. This is because I have a target amount of money I want to get together in the next year or so which will give me a significant deposit for a house. Do any of you guys have any tips that follow along the lines of what I'm doing, basically taking the cash out?

Careful that you don't take a nice dividend, buy a house then realise that you're tax bill seems to be double what you thought it would be because of Payments on Account - which tie money up in HMRC's hands a year before they should be allowed it.

[MrWebDev]

This makes for interesting reading. TheFaQQer that's some great advice you've given there, I'm definitely going to look into those Business Savings Accounts. In terms of the interest gained from leaving money in those accounts, how, and at what rate is it taxed?

I'm currently teetering on the edge of the higher rate tax bracket. This year and next I have/plan to take £15k out of my biz account to max out my ISA allowance. This is because I have a target amount of money I want to get together in the next year or so which will give me a significant deposit for a house. Do any of you guys have any tips that follow along the lines of what I'm doing, basically taking the cash out?

I'm already putting some money monthly from my Ltd Co. into a pension too.