What is the best thing I could do now with £5k?

seabass

I have £5k lying around in the bank gathering almost zero interest, what is the best thing I could do with it at the moment?

Zeusiblue

personally i would try to find the highest interest isa or pay off your motgage. however this depends on the type of mortgage you have and if you can leave your funds untouched in the isa

horace_2

>> seabass

Give it to me.

horace

Doomcow

ISA -> instant access savings with the rest.

oh and remember when selecting account - go for the one you feel happy about and not just because it has the highest rate. eg you may not like how Barclay's works so you wouldnt bank with them despite having the highest ISA rate out atm (or thereabouts)

greenface

how does a holiday sound

bigw81

Give it to Comic Relief - at £5 for a mosquito net, you could save 1000 kids from dying of malaria. Sounds like a no-brainer to me; time to get our priorities right.

Lokolo

bigw81 wrote: »

Give it to Comic Relief - at £5 for a mosquito net, you could save 1000 kids from dying of malaria. Sounds like a no-brainer to me; time to get our priorities right.

Or save the money up, for years and years, buy a business, grow and expand it and start earning a lot more which can mean you can give not only £5,000, but £50,000 to charity. How does that sound?

seabass

Thanks for the responses, looks like the best bet is an ISA, the interest rates are so low though now it looks like it's hardly worth doing.

What about premium bonds, i've heard of people winning about £50 a month, that works out about 12% per year on £5,000, is it likely that I would win that much each month with that amount?

ricll

seabass wrote: »

Thanks for the responses, looks like the best bet is an ISA, the interest rates are so low though now it looks like it's hardly worth doing.

What about premium bonds, i've heard of people winning about £50 a month, that works out about 12% per year on £5,000, is it likely that I would win that much each month with that amount?

12% on £5,000? If you find a bank paying this let us know :rotfl: no way

rb10

seabass wrote: »

What about premium bonds, i've heard of people winning about £50 a month, that works out about 12% per year on £5,000, is it likely that I would win that much each month with that amount?

Look at http://www.moneysavingexpert.com/savings/premium-bonds-calculator/ for the Premium Bonds.

You will see that with £5000, the chances of you winning £50 every month are about 0. If you want to get the best return on your money, steer well clear of Premium Bonds.

Doshwaster

Depends on when you may want to access the money.

If it's it for less than 3 years then I would say cash. Split the £3600 before the end of the tax year (or however much allowance you have left) and the rest afterwards