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Q&A » Savings
I have some money saved up for a house deposit but I won't be buying a house for at least a year (maybe more) and I'd like to put some of it away somewhere safe where it will work for me. Any suggestions? It is currently sat in an A&L online saver account earning 2.75%. I won't need to access it as I have other savings that I'll be building up at the same time and also probably won't add to it either.
Thanks.
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272Santander and Nationwide have 18 month fixed bonds that pay rates of 3.4% per annum. So that's about 20% better than you're getting at the moment, but you need to lock the money away for 18 months so it might not be suitable. You can't really do better than 2.75% when locking it away for just a year, just make sure that the bonus on the A&L account will last until you need the money.
Posted on 18 February 2010 |
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804Coventry BS 1st Class Postal is instant access at 3.15% at the moment (includin 12 months bonus).
http://www.coventrybuildingsociety.co.uk/savings/home.aspx
Stick your lump sum in there and put your monthly savings in Stroud & Swindon
http://www.stroudandswindon.co.uk/regular_saver_account.aspx
Mike
Posted on 18 February 2010 | Love 0 loves
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212They've just downgraded the interest to 2.75% on 9K+ in Cash ISA at Santander ... depending on your age you could take that option ... or put most of it in ... might beat the others because of tax relief if you're on a higher rate.
Posted on 19 February 2010 | Love 1 love
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804Both the 3,4% accounts mentioned by Swarbs are for a minimum of £25,000. With only £10,000 The comparison is between the Santander ISA @ 2,75% tax-free or Coventry BS @ 3.15% less tax.
Your regular savings (up to £250 per month) should be in Stroud & Swindon @ 4.50%.
Mike
Posted on 19 February 2010 | Love 1 love
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0thanks for all the responses.
I'm 25 and I already have an isa that is almost maxed out this year so I don't think the Isa suggestion would work. (although i may switch to the santander one when the bonus rate on my current ISA expires in a few months.)
I will look into Coventry BS and Stroud & Swinton. Sounds like I'm not going to get a better deal from short fixed term bonds than those two accounts.
Other suggestions are still welcome!
Posted on 20 February 2010 | Love 0 loves
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