I need to find best way to invest my mother's money.....help please!
Comments
-
Thank you all for your replies.
To clarify a few points, the capital from the sale of mums house is in a current account earning no interest and is in excess of the £85 G that is insured.
Mum is not very well and as such I am not sure putting the capital into fixed term bonds would be prudent as it is possible that it may sadly go through probate in less than 12 months.
In retrospect investing that capital is something I am too inexperienced to do with any confidence and wouldn't want to take the gamble with someone else's money.
This leaves me with the option of splitting the money into two accounts and try to get the best interest or in NS&I .
I have never had the responsibility for this type of capital before and I was panicking about doing the best for mum.
Have to say I'm appalled at the interest offered on savings from the high street banks but am too inexperienced to try anything unfamiliar.0 -
Why?Have to say I'm appalled at the interest offered on savings from the high street banks
Current base rate is 0.25%. Paying significantly more than that is a bit like a supermarket paying you to take bread, milk etc away. It just doesn't make sense.
Largely people are happier getting 5% when interest rates are 6% or more because they feel happier getting a larger number even though they are still making a loss.0 -
To clarify a few points, the capital from the sale of mums house is in a current account earning no interest and is in excess of the £85 G that is insured.
Mum is not very well and as such I am not sure putting the capital into fixed term bonds would be prudent as it is possible that it may sadly go through probate in less than 12 months.
In retrospect investing that capital is something I am too inexperienced to do with any confidence and wouldn't want to take the gamble with someone else's money.
This leaves me with the option of splitting the money into two accounts and try to get the best interest or in NS&I.
When you are already shaken by your father's recent death and your mother's decline, and when you face the prospect of grief to come, you would be ill advised to try messing around with tricks like opening multiple high interest current accounts and regular savers. In your shoes I'd be ill advised to do it, and I do have some experience of these things. Grief can knock you for six. Take care of yourself so that you can do your best for your mother.
Neither investing the money nor even using fixed term bank accounts seem likely to make much sense in this case. As you have inferred, the sensible thing is to move the cash, or much of it, so that its value is guaranteed and it at least earns some modest interest. In your shoes I'd be looking at ns&i.Free the dunston one next time too.0 -
It may well not be - I simply commented on the likelihood ( but of course not certainty) of a better return if it were.
That said,
so that it could be argued that it is not absolutely necessary to generate any return at all!
One assumes that after "temporary high balance" period expired, the OP would want to leave no more than £85,000 with any one institution ( other than NS&I) but that is easily managed.
The OP may be happy simply to leave it all with NS&I at 0.75%.
It's up to her.
Yes, that's exactly my point(s).0 -
Current base rate is 0.25%.
Indeed - and CPI inflation was 2.6 % in July with RPI at 3.6%......0 -
Indeed - and CPI inflation was 2.6 % in July with RPI at 3.6%......
and 2.9 and 3.9 in August.....
http://www.telegraph.co.uk/business/2017/09/12/pound-jumps-132-against-dollar-ahead-key-uk-inflation-figures/0 -
greenglide wrote: »Largely people are happier getting 5% when interest rates are 6% or more because they feel happier getting a larger number even though they are still making a loss.
I'm happy getting 5% when base rate is 0.25%. Obviously it's a lot easier with £10k than £100k.
In the circumstances outlined there isn't really a lot of option to improve on the rates. I would suggest to the OP that if they expect that they may need to take action in 12 months or so then they should start investigating investment options so that they are fully informed by the time they need to do something longer term wit the money.Remember the saying: if it looks too good to be true it almost certainly is.0 -
Another vote for NS&I. It's 100% safe, easy to access and provides a better return than standard bank deposit accounts. I wouldnt see inflation as a major issue - Mum doesnt need the money now and one could reasonably assume that it would not be held as savings for a sufficiently long time for inflation to have a major impact. The sole driving factor should be to act in Mum's best interest. It's difficult to see how taking greater risk with her money would add to her quality of life.0
This discussion has been closed.
Categories
- All Categories
- 343.1K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.6K Spending & Discounts
- 235.1K Work, Benefits & Business
- 607.8K Mortgages, Homes & Bills
- 173K Life & Family
- 247.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards