Nationwide as a backup bank?

So i have recently gone #fullmonzo and so far all good :+1: I do however want to keep a second bank account. Im currently with Halifax but am winding it down and will close it once my credit card is settled.
The main reason for me wanting a secondary account is to possess a chequebook and another point for me to pay in cheques or cash if and when i need such a service.
If i open a Nationwide FlexDirect account and keep my balance above £2500 i am able to earn £125 interest in my first 12 months provided i pay in £1000 per month.
So if i transfer £1000 from Monzo to Nationwide per month, but then also transfer the money back from Nationwide to Monzo later in the same month, every month, for 12 months, do you think this process would flag up as suspicious to Monzo? Its a little bit of a loophole which im sure is perfectly legal and would be worth it for the £125 interest but can also see how it may look a little strange. Your thoughts and advice is very much appreciated :+1:

Seems like a lot of work and commitment for a bribe. Other banks will pay you that much just to CASS an account to them.

You would have bank statements showing that money in your possession for the past 30 days+ albeit in different accounts , so even if it’s flagged you would be fine.

Besides it’s unlikely to get flagged as the nationwide account is in your name

Not that much work really, takes very little time to do a transfer.

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It’s your choice. Not sure why you asked the question if you didn’t want options?

No worries, i appreciate your comment :+1: Main reason for me asking to be fair is, as i say, my concern of it being flagged as suspicious.

If you’re worried about back-and-forth transfers looking iffy:

Withdraw £1k cash from Monzo and pay that in to Nationwide.
Transfer £1k from Nationwide to Monzo.

But in all honesty, I think banks know people can shuffle money around to active bonuses. And they either let it slide, because the percentage of customers who take the effort to do this are relatively small. Or they use something in the small print to decline paying out the bonus - but I’d be surprised if they went as far as closing your account.

tl;dr, I don’t think you’ll have any trouble.

In this case it’s not a bonus, it’s interest legitimately earned while the money sits in the Nationwide account. There should be no reason for this activity to be seen as suspicious but I understand the OP’s reservations given the number of people who claim to have fallen foul of Monzo’s anti-fraud checks.

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As both accounts will be in the same name there should be no issues :+1:

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I have done this with my nationwide account to earn the interest. Do it every month from/to my Monzo account with no issues at all. I can’t see there being a problem, particularly with both accounts being in the same name.

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Thankyou Ethan :+1:

Do you know what interest is? Bribe, you gotta be kidding me. :roll_eyes:

Also, since when is the 45 seconds needed to setup a standing order on both ends classed as a lot of work?

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That’s perfectly fine. I regularly transfer money back and forth between accounts to get the bonuses, every month I have £1k going to and from First Direct, £500 to and from TSB and £800 to and from Barclays. They’re all perfectly normal transfers and have never raised any flags for me.

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Literally cannot see any issue. I know loads of people who get paid into one account and immediately transfer thousands each month to another account.

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Just joined Monzo and will be doing something similar to this. My salary will go into my Lloyds account so I get the Club Lloyd’s benefits and I will then transfer over half that into Monzo with the rest retained for my direct debits and rent etc. Whilst its sitting there its accruing interest. Monzo would then be used as my spending account.

I have used this kind of setup with Nationwide for a while where I send money to nationwide to pay all my bills out of. Found Nationwide’s app to be rather limited so took the plunge with Monzo.

I do the same with my Tesco saver and i’ve never had a problem. Remember you can also open a 5% saver with the account and pay in up to £250 a month :slight_smile:

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Zain, I was pointing out that a single switch using CASS could net as much as the interest amount that the OP states without the need to maintain an account with a large minimum balance over 12 months that required 12 monthly credits in order to qualify.

What the OP is proposing, in order to qualify for £125, is more work and takes a year rather than a few days whichever way you cut it.

It’s an option. A suggestion. I’m not forcing the OP to do it.

Its a fair point, i will look into it. The best one of seen recently to CASS to would be HSBC?

That’s right. But I think that offer is about to end so best check if CASS is an option for you. If not, you have feedback from others about your originally proposed plan. HTH. :+1:

So do a switch and get the interest, why does it have to be one or the other? In any case, interest isn’t a bribe.

Also, I’d say that a CASS switch is orders of magnitudes more work (but still trivial) given the forms you have to fill out compared to setting up 2 standing orders in under a minute.