Best place to save for holiday spending money.

red_pad

Hi guys,

I'm off to New York in November and I'm going to start saving for my spending money/ accomodation. Flights are paid for and accomodation needs to be settled on arrival.

I plan to save at least £150 per month and also any overtime I get which will be a lump sum every 3months or so. I've also got a lump sum of about £1000 that I'd like to get as much interest for.

My question is which savings account is best for me. Obviously I want the best rate of interest but can't commit to a long term account.

I'm thinking the Barclays 6% one but is there anywhere else. Is there a maximum amount you can open the Barclays account with.

Sorry if this doesn't make sense. Any help would be great.

Thanks in advance.

JimLad

isnt the barclays regular saver a 12 month thing? If you withdraw early you will get sod all interest

I think you might be best off going with the best instant access saver for your monthly deposists. Halifax do some shorter term fixed accounts for your lump sum

red_pad

Thanks Jim. Isn't the interest paid monthly though so I could pay £150 in every month until November then withdraw it. I'd carry on paying in after my hol for the rest of the 12month period but would obviously get less interest.

JimLad

red_pad wrote: »

Thanks Jim. Isn't the interest paid monthly though so I could pay £150 in every month until November then withdraw it. I'd carry on paying in after my hol for the rest of the 12month period but would obviously get less interest.

Ah yes you are right..this is what the barclays site says....

Earn a fixed interest rate of 6.00% AER (5.84% gross pa*) in months when no withdrawals are made.

No withdrawal restrictions but should you need to take some money out, a lower fixed rate of 3.03% AER (2.99% gross pa*) is paid in months when you make a withdrawal.

So in theory you would only suffer 1 month of low interest

red_pad

I'm not sure if I can put my 1k in to start with though as there's a maximum of £250 per month. Any where else where I can bung this sum.

sheslookinhot

any savings acoount will do. any interest will be minimal, not worth bothering about.

atypical

red_pad wrote: »

I'm not sure if I can put my 1k in to start with though as there's a maximum of £250 per month. Any where else where I can bung this sum.

Into a fixed rate account? Chelsea BS has one at 3.78% maturing on the 2nd October 2009.