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    • AE448
    • By AE448 12th Sep 17, 3:11 PM
    • 3Posts
    • 5Thanks
    AE448
    Advice on where to store lump sum?
    • #1
    • 12th Sep 17, 3:11 PM
    Advice on where to store lump sum? 12th Sep 17 at 3:11 PM
    Hi guys, a little bit of background info first...I have recently set up a FlexDirect current account with Nationwide (5.00% AER on £1,000 income/month), a Flexclusive Regular Saver (5.00% AER on deposits of £250/month max) and a Help-To-Buy ISA also with Nationwide (£200/month max deposit).

    My question is this. I still have £10,000 to store somewhere for one year, so what would you recommend I do? I've looked into a fixed rate bond with Tesco Bank which currently has an interest rate of 1.50% on a one year term. This would earn me £150 in interest once the years up. However, my Flexclusive Regular Saver should earn me approx £80 off just £3,000 in one year. So now £150 from 10K doesn't look quite as good, so i'm looking into other options first. I've briefly looked into savings accounts with other banks to see if they offer something similar, but with the top banks I think I'm correct in saying they make you transfer to them as your main current account before you can open up their savings accounts? (Set up DDs etc.)

    Does anyone have any wisdom they could share with me on this matter? I still don't mind locking my lump sum away for a year with Tesco, but if there's a better option then I'd rather explore that. Many thanks!
Page 1
    • xylophone
    • By xylophone 12th Sep 17, 6:10 PM
    • 22,852 Posts
    • 13,207 Thanks
    xylophone
    • #2
    • 12th Sep 17, 6:10 PM
    • #2
    • 12th Sep 17, 6:10 PM
    You might .....

    Open a couple of savings accounts with Tesco - (one Instant Access and one Internet Saver.

    Use them to set up DDs to pull from each of three Classic current accounts with Vantage you would set up with BOS between which you would share your £10,000.

    You require 2 DDs on each BOS.

    https://www.bankofscotland.co.uk/bankaccounts/classic/

    You use internal SOs on the BOS accounts to cycle £1000 from A to B, from B to C and from C back to A on the same day each month to satisfy the input
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