Updating post from Reddit.
As the title says, I’ve recently started a buy to let and I am using a business bank account to separate the money from my own personal money.
What is the best option for making the money earn some interest, put it in a savings account with the same bank, or is there anything else that people do? Might be missing the obvious and this may sound dumb but I’m just a beginner with business accounts so sorry in advance!
Is your btl in a ltd company? If not you are probably paying for a business account that you don't need as dont they charge?
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I’m with Virgin and they don’t charge. It’s in my name, yes. Just means I have the peace of knowing my bank won’t close my account. So anyways what’s the best way to make the money work for me?
If it’s all in your personal you can do whatever you would usually do with your savings.
No need for a business account. Just pick whatever saving account you are happy with rates and access.
Just trying to make it easier for myself to segregate the cash I guess but you’re right.
Have a separate savings account if it helps with the segregation.
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Direct debits mortgage etc linked to Virgin I take it and you have a standing order set up monthly from starling to Virgin I assume? Why two?
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I think the way I may look to operate is to just set it up in a way for the rent and all the expenses to be taken from virgin, and then whatever is left can stay throughout the year for expenses that are unexpected and tax. Anything that remains can either stay or move to a second business account to start the year afresh, might make things easier that way to manage