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  • ScabHunter
    replied
    Re: Savings Account with ChequeBook & Debit Card

    I have some slightly bad news regarding the Bank of Baroda Saving Bank Account -

    I received a letter yesterday informing me that the interest rate is being reduced from 0.5% to 0.25%. What does this mean in real terms? Well, it means that anyone keeping the balance at the minimum £100 level for a year is going to lose FIVE BOB A YEAR in interest.

    That is “twenty-five new-fangled pence”, for trendy people.

    As no-one would ever open one of these accounts for the interest rate anyway, it is not likely to make much difference. If you can't get a proper bank account with a cheque book, this will still give you what you need.

    It is not just this account – interest rates seem to be plummeting through the floor all round. The Principality Building Society, Yorkshire Building Society, and Kingdom Bank have all slashed their rates in the past year.

    SH

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  • CleverClogs (RIP)
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Originally posted by MattyA View Post
    Will apply for a business account now.....
    In the name of the Acme Penis Enlargement Company, to make it less likely that cheques issued thereon would ever be cashed?

    Leave a comment:


  • ScabHunter
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Originally posted by Never-In-Doubt View Post
    Ive not opened an account as believe it or not; it's of no use to me.
    Having seen a (probably partial) list of the accounts you already have, I can well believe it! Most of us aren't in that position, though.

    Originally posted by Never-In-Doubt View Post
    Finally, can someone apply for the business account / credit card - then we'll have completeness
    It is possible I could apply for the business account in the future, although I'm looking at cheaper options at the moment. The idea of having to tie up £500 permanently to avoid extra charges doesn't appeal to me if there are other alternatives.

    I shan't be applying for the credit card, sorry. One of the abiding principles I try to live by is “one provider, one service.” If you take out a credit card with your bank account provider, your savings account provider, or (God forbid) your mortgage provider, you are taking a risk. If something happens to take that card under, such as fraudulent transactions, it would probably result in you losing your other services as well.

    If you keep each service separate, a disaster like that would only cost you one thing. You'd still have a damaged credit rating, but you would probably still be able to keep the rest of your set up intact.

    That is what happened to me in 2006. When my Capital One card was taken under, my Alliance & Leicester current account stayed open. If I'd had an Alliance & Leicester credit card instead of Capital One, I'd have been screwed.

    The idea of risking a crucially important account which has no direct equivalent, and which cannot be replaced, by taking out a credit card with the same provider is out of the question.

    SH

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  • Never-In-Doubt
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Thanks for the update SH

    MattyA - did you open a business account?

    Ive not opened an account as believe it or not; it's of no use to me. However I posted about this account in the first place as I knew it'd be easy to obtain and would help certain users here. That's happened in your case so my OP did it's job. This is also public so non members could have opened accounts that we don't know of.

    All in all your input has been great mate. Thank you. It's definitely a useful thread for people wanting a full account (banking).

    Finally, can someone apply for the business account / credit card - then we'll have completeness

    Leave a comment:


  • ScabHunter
    replied
    Re: Savings Account with ChequeBook & Debit Card

    I promised to update this thread with my progress, so I may as well do that now.

    Having used the Bank of Baroda Saving Account for well over a year now, I can totally recommend it. I've written several cheques, which have all cleared through without any trouble. I've used the VISA card to book coach and rail tickets online, in Sainsbury's and Tesco to buy food, and to draw cash from machines. When you do that, you do get warned that the card issuer may charge you for the withdrawal. When I was interviewed by the manager on 30th April 2013, he told me that this would always happen, but that if the machine had 'VISA' on it, you would never actually be charged. That has proven to be accurate, as I've never yet been charged a penny for anything on this account.

    I've also paid in cash and cheques through the NatWest branch in the town where I live. Very occasionally, you get a young member of staff who is obviously not aware of the arrangement question whether they should be taking the transaction, but most of the staff do seem aware of it. Even the ones who question it process the transaction as soon as you show them the inside cover of the paying in book, which mentions NatWest and the arrangement.

    For anyone who has a damaged credit file, but who can spare £100 to put into savings, this account can provide welcome relief. I would not suggest using it as a sole or main bank account, although you certainly could do that. There are some minor weaknesses, which I will outline below. As a supplement to a High Street basic account, it works perfectly.

    There are four slight drawbacks you will need to bear in mind. Firstly, the VISA card does not have the bank account number on it, meaning that you cannot use it to check your balance at an ATM. That is a very minor issue for me, as Net Banking displays the balance and an ongoing statement of transactions.

    Secondly, the online banking is primitive. You cannot make outgoing transactions, which would be a severe impediment to anyone trying to use this as a substitute for a current account. You can, however, set up Direct Debits to pay bills.

    The VISA card does come with a limit, in my case £250. So, you won't be able to use it to buy a £1,000 computer system online. That is one more reason not to use this as a sole bank account.

    And, of course, you have to maintain the balance at an average of £100 or more throughout a quarter to avoid charges. That is obviously a severe drawback to those struggling with debt, but I am still amazed that more people haven't jumped all over this. No replies on the thread for over a year! Even though this is a debt forum, I still see a lot of posts from people going on foreign holidays or buying the latest tech gadgets. Surely, there must be someone who can spare £100 to put into savings?

    For those who don't have a severely damaged credit file, the account still makes perfect sense as the 'root account' in your savings plan. If you put the first £400 of your savings into Bank of Baroda, and then the rest in Yorkshire Building Society, you will have a high average rate of interest, a cheque book and VISA card to use on your savings, an ATM card to get instant access to the second level of your savings, and the ability to access £500 in cash instantly in an emergency (£250 from Bank of Baroda and £250 from the Yorkshire). Try getting that from a mainstream solution.

    All in all, this account is recommended to anyone, whatever their circumstances. It is unique, and I've found it extremely useful.

    SH

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  • Never-In-Doubt
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Excellent

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  • MattyA
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Originally posted by MattyA View Post
    Just been in to the Manchester branch & applied for one of these today - Will let you know how I get on.
    All forms filled in with the assitance of the manager & deposited £100 to the 'new acccount'.
    He said everything was fine.
    We will see & I will let you know.


    Also picked up forms for a business account.

    Matty

    PS Boss - was up your neck of the woods yesterday - by default I ended up driving past the rangers ground and eventually on to West Kilbride to my dear uncles funeral.

    Confirmation recieved that account is open yesterday - just waiting for debit card , then its job done.

    Will apply for a business account now.....


    Matty

    Leave a comment:


  • MattyA
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Just been in to the Manchester branch & applied for one of these today - Will let you know how I get on.
    All forms filled in with the assitance of the manager & deposited £100 to the 'new acccount'.
    He said everything was fine.
    We will see & I will let you know.

    Also picked up forms for a business account.

    Matty

    PS Boss - was up your neck of the woods yesterday - by default I ended up driving past the rangers ground and eventually on to West Kilbride to my dear uncles funeral.
    Last edited by MattyA; 30 July 2013, 21:21.

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  • ScabHunter
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Further update – The debit card has now arrived, so the bank has been good for everything it has promised so far. I couldn't activate the card online – I had to use a stone age piece of equipment called a 'telephone' – if your grandfather is still alive, he'd probably be able to teach you how to use one.

    I've still yet to test the card out, due to having influenza and being far too busy anyway. I've got the PIN number, but it is the hardest to read that I have ever seen. I think I know what it says, but if I'm wrong, there could be chaos ahead. Interestingly, I showed it to people who are not visually impaired, and they either thought it said something else or just couldn't read it. We'll see who is right.

    I'll make further updates when I successfully use the Visa debit card, and the chequebook. There shouldn't be any problems at this stage, though.

    SH

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  • Pixie
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Originally posted by ScabHunter View Post
    I know, Pixie, and I really do wish I could get you that well paid full time position that your abilities obviously deserve. I was thinking, though, about what you said before. About the NatWest branch closing in your area and not being able to fund the account. I don't think that would be a problem for you, because the Cashminder online portal should allow you to make a bank transfer into the Bank of Baroda saving account. Drawing money out should also be easy as you can use the debit card for free at any Visa cash machine. It is just a case of having £100 that you know you can keep in savings, otherwise I think you could go to Manchester and make this work.

    Thanks SH but I don't have a spare £100 to transfer.

    I'm quite happy with the Co-op account...and I never go to Manchester!

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  • ScabHunter
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Another update needed here – The day after my cheque book arrived, I also received a paying in book. Today, I went into the NatWest branch to see if I could credit the account without being charged, and everything went as smoothly as it could. I put the cash and the paying in slip through the trough underneath the teller's window, and they just processed it without even hesitating.

    In London, the manager had told me that there just could be an issue, as some NatWest branches had not been familiar with the Bank of Baroda. In that case, he said, just get back to him and he would make sure that branch would be made aware of the arrangement which exists.

    I doubt whether there are many Bank of Baroda customers in the town where I live. It doesn't have a huge Indian population, and it is not close to any of the branches. Still, I had no difficulty in paying in money.

    All that remains now is for the debit card to arrive, and the manager told me at the time that it would take three or four weeks. That was on 30th April, so we are still right on schedule. Everything has happened exactly as they said it would so far.

    SH

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  • ScabHunter
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Originally posted by Deepie View Post
    Well done SH.... If you want to see if it works...

    You can write me a cheque for £ 150.00......
    Sorry Deepie, you have to maintain a balance of at least £100, so the most I could write out for you would be £50. I tell you what, if you can walk some fish and chips up to where I live, and still have them piping hot when they get here, I'll write you a cheque for £5 18s. How does that sound?

    Originally posted by Never-In-Doubt View Post
    Excellent. Thanks for testing this out.

    Can't believe it's been up here so long and you're the first to experiment it. Thanks
    I know, I find that absolutely incredible. Especially when you consider the people who can only get poor basic accounts because of bad history elsewhere. How many members here have got a bad history with this bank?

    Originally posted by Never-In-Doubt View Post
    * I wonder if there business accounts are as easy to open as that'd be a godsend to many
    My research into business accounts is now almost complete. I'm currently exchanging emails with one bank and one building society, just to confirm some final details. The Bank of Baroda current account is the same for businesses as it is for individuals, so it should be as easy to open, but you need to maintain a balance of over £500, and the charging is relatively heavy on current accounts. Unless you desperately need to be able to write cheques, there are better and cheaper options elsewhere which also require no credit check.

    Originally posted by Pixie View Post
    Some of us don't have any savings to open a savings account...
    I know, Pixie, and I really do wish I could get you that well paid full time position that your abilities obviously deserve. I was thinking, though, about what you said before. About the NatWest branch closing in your area and not being able to fund the account. I don't think that would be a problem for you, because the Cashminder online portal should allow you to make a bank transfer into the Bank of Baroda saving account. Drawing money out should also be easy as you can use the debit card for free at any Visa cash machine. It is just a case of having £100 that you know you can keep in savings, otherwise I think you could go to Manchester and make this work.

    Originally posted by Never-In-Doubt View Post
    It's a current account but they call it savings account. Lol
    The terminology is odd, I agree. They call it a saving account because it pays interest, but the extra facilities you get with it are unique (and having researched all 317 UK banks and over 50 building societies I can tell you it is unique). Whatever they call it, it is an extremely useful resource for those thwarted by the High Street denial machine.

    SH

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  • Never-In-Doubt
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Originally posted by Pixie View Post
    Some of us don't have any savings to open a savings account...
    It's a current account but they call it savings account. Lol

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  • Pixie
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Some of us don't have any savings to open a savings account...

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  • Never-In-Doubt
    replied
    Re: Savings Account with ChequeBook & Debit Card

    Excellent. Thanks for testing this out.

    Can't believe it's been up here so long and you're the first to experiment it. Thanks

    * I wonder if there business accounts are as easy to open as that'd be a godsend to many

    Leave a comment:

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