Reader Reply

Issue 4 - Charity Matters

A selection of responses to Michael Griffiths question about better returns on saved charity money while it's waiting to be distributed.

Q. Michael Griffiths

We "The Elgol Charitable trust" are a very small charity, who distribute about £5000 a year to good causes.

The best Natwet will offer me is a Clubs account with a pathetically low interest rate: this means that I try to keep funds moving out of the accout, and only put money in to the account as it becomes about to be needed.

Charity Commissioners have said they cannot advise me where to keep moneys prior to disbursement. I am wondering whether you have any advice or can tell me any way i can get better returns on money in a savings account while waiting to be distributed?

Michael Griffiths

A.

1. Alan Jessopp

Dear Sirs

Forgive me if this is the incorrect way to address an issue, but perhaps Mr Griffiths would care to look at CAF Bank. They give me as many accounts as I need, plus low charges and an extremely good rate of interest.

Regards

Alan Jessopp
Treasurer

2. Angus Cleaver

We were also badly treated by the Bank of Scotland who reduced interest on a charity deposit account to virtually nothing, although we have banked with them for years. We moved to the CAF Gold Account which seems fine, and they are an outfit that say they are geared up to serve charities.

Angus Cleaver
The Cleaford Christian Trust
Registered charity: 1039861

3. Peter Cotterill

Dear Charity Matters

In response to the request for advice from Michael Griffiths of The Elgol Charitable Trust in your latest edition I would recommend he contact CAF Bank Ltd cafbank@cafonline.org the bank established by the Charities Aid Foundation in response to the problem he identifies. We have had excellent and comprehensive service from them for over ten years.

Peter Cotterill (no relation to your editor!)
Company Secretary & Director-Trustee
LEARNING THROUGH ACTION
Reg'd charity no: 1014350

4. Alan Foster

Thank you for your magazine which I found interesting.

I would like to recommend to Michael Griffiths the Charities Official Deposit fund which pays money market rated of interest. The last payment to our charity was at an average.5.081% in March this year.

Contact them at 80 Cheapside, London EC2V 6DZ Tel 0808 220 2252

My charity distributes less than £10,000 yearly

Alan Foster
The Woodcroft Trust

5. Tony Ede

With regard to letter 5 in your recent e-magazine, I have found HSBC to be very helpful in setting up current and savings accounts for two charities of which I am treasurer.

The account is called Business Money Manager. One of the big advantages is that I manage the accounts on-line so I can maximise the interest bearing element of the funds. However, with a turnover of £5000 per annum, the interest on the savings
account won't amount to much, so Michael Griffiths might find it simpler to stay with a building society.

Tony Ede
Treasurer
Fibromyalgia Support Group for Surrey and Sussex (FMSSAS)

6. Marian Nicholson

Dear CharityMatters,

Could you pass on to Michael Griffiths at the Elgol Trust that COIF does an excellent rate for charities:

The COIF Charities Deposit Fund. Website. CCLA Website. Address, Tel, Fax. 80 Cheapside, London, EC2V 6DZ, 0207 489 6010, 0207 489 6126 ...

Best regards
Marian Nicholson
Herpes Viruses Association

7. Philip Pearce-Smith

Would suggest small or large charities open a account with Charities Aid Foundation , or Alliance and Leicester if they want more
interest than the big banks give.

Pleased to get the first e-mail from you , must have missed previous ones.

Philip Pearce-Smith