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Interest calculation
March 1, 2020
4:10 am
davidgeorge
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I moved $21,260 into my Motive Savvy Savings Account on Feb. 27th, and got $4.24 interest on on Feb. 29th. I failed to get this amount as I calculated below:

For 3 days, I would have interest: (21260x2.8%)x(3/365)=$4.89
For 2 days, I would have interest: (21260x2.8%)x(2/365)=$3.26

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March 1, 2020
5:50 am
krwilson
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I notice a problem too! If you use my original balance of $42,823 and do the calculation for the month (42823x2.8%)x(29/366)=$95.00

This amount is already greater than what they paid not including my deposit on the 25th??!!

March 1, 2020
5:51 am
savemoresaveoften
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I think denomintor sb 366 instead of 365 but yeah still wont get the interest they calculated.

Hang on, just checked mine, I made a deposit on Feb 4, and it calculated 25 days of interest on the dot using 365 days as denominator. So I can get their number but cant say if its right or wrong, as it looks like btw Feb4 to Feb29 its counted as 25 days and not 26 days....

March 1, 2020
7:16 am
Bill
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From Motive site: "Interest is calculated on the daily closing balance at the applicable rate tier and paid on the last day of the month, for the period beginning on the last day of the previous month and ending on the second last day of the month."

March 1, 2020
7:41 am
savemoresaveoften
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Bill said
From Motive site: "Interest is calculated on the daily closing balance at the applicable rate tier and paid on the last day of the month, for the period beginning on the last day of the previous month and ending on the second last day of the month."  

hmm so how many days for the full month of Feb then ?

And dont think that explains the discrepancy for krwilson nor davidgeorge tho.

March 1, 2020
8:03 am
Norman1
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Are we sure those are all the transactions from January 31 to February 28 (total of 29 days) for krwilson and davidgeorge? Some online banking sites show just the transactions for the last 14 days.

Also, some online banking sites, like that of Simplii Financial, show the posting date of transactions. That's not necessarily the same as the effective dates, shown on the monthly statements, used for interest calculation.

March 1, 2020
8:16 am
Bill
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Last month Motive just switched their statements to calendar month-end from the 8th of the month or something like that previously. Shouldn't affect interest calculation though.

March 1, 2020
11:41 am
davidgeorge
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Sorry, my mistake. I moved out $4269.83 on Feb. 3, which accumulated interest for 3 days (Jan. 31, Feb. 1 & 2): ($4269.83x2.8%)x(3/366 )=$0.98 and $0.98+$3.26(2day interest on $21260) = $4.24

March 1, 2020
12:52 pm
dougjp
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So are Motive's calculations correct? It appears so now?

A number of banks don't necessarily pay from the posting date either (ie; Tangerine?), but I think Motive does? Some wait to confirm cleared funds, perhaps takes one day?

March 1, 2020
2:45 pm
krwilson
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Norman1 said
Are we sure those are all the transactions from January 31 to February 28 (total of 29 days) for krwilson and davidgeorge? Some online banking sites show just the transactions for the last 14 days.  

Those are the only transactions in my account (wife's actually). We just started using it in late January when Tangerine provided no good offer to continue.

I think we will let it ride through March and do zero transactions this month just to see what happens with interest at the end of the month.

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