Advice on what to do with £80000

bunty2

Hi, new to all this and don't know where to start! I have £80k in a Barclays saving account at the moment. I know that i need to split this to ensure it is not at risk, however not sure where to go. It has been in the account since January but i need to sort it now. I have not invested as not sure how long to tie it up for or if i may need it. Also do not know where to turn for advice. I have been to Barclays advisor who has advised to split it into 3 different funds. As a complete novice i do not know if i would be doing the right thing! Any help or suggestions on what to do with it or reputable company to go to for advice is appreciated!

Reaper

3 different funds? I hope he means savings accounts, not investment funds. Now is not the time for novice lump sum investments in the stock market!

You do have to make a decision yourself about how much access you need to the money. For example you might feel happy locking half of it away for a year or 2 years as long as you have instant access to the rest.

Having decided that you can set about choosing where to put it. You only need to split it into 2 accounts to get below the limits (unless you count a bank current account as the third). Maybe he was suggesting a cash ISA as the 3rd account? If so that's a good idea if you are a tax payer.

Look at the articles on this site such as this one to decide where to put it and this one to make sure sure the two organisations you place your money with don't count as one under the compensation scheme.

RuthLong_2

Make sure you've used your cash ISA allowance for this year and split the rest between at least two accounts as above

Reaper

Yes I realised I had missed out Cash ISAs and edited my post just as you added yours!

Saucepot

Bury it and buy a gun.

collingwood21

In the present economic climate?

Spend it!

jauntyangle

Have you got a mortgage? Is so, it's a good idea to pay some of that off - or get some professional advice as to whether an offset mortgage is suitable for you.

Savings will either be eaten away by inflation, or interest rates will drop and the return won't be worth it.

bunty2

Thanks. One was a guaranteed savings (on capital) the other 2 were investments. Do need to decide whether may need it in the next few years before going further.
Thank you for your help.

bunty2

Have looked at paying the mortgage off, but have a redemption penalty at the moment so not going that route!

opinions4u

bunty2 wrote: »

Have looked at paying the mortgage off, but have a redemption penalty at the moment so not going that route!

It's not uncommon to be able to pay off 10% or less of the debt each year and avoid the penalty. Check out the rules with your lender. It may be that you can pay off 10% now and 10% just after New Year.

Assuming the rate on your mortgage is more than the net rate on the best savings accounts.

skronk

I would spend it on:

Booze :beer:
Fags :j
Gambling :j

Women :j

You could just wast the rest.:rotfl: