Where to put a lump sum with easy access?

lemonade_lifestyle

Help please.....

We will have a lump soon of £22000, as my husband has been made redundant. Where is best to put this??? What type of account??? Getting v confused and going round in circles...

We need to use this money as a monthly income, so will have to be able to withdraw/transfer money out into main bank account every month.

Thanks in advance xx

Any

Who do you bank with?

Inforapennyinforapound

Give it to me,I'll look after it for you!:j

Seriously though its a bit of a dilemma with savings rates as they are at present.

I think i would put £7,200 in a top paying easy access isa (one isa each) and the rest in an easy access savings account.The best rates can be found on this site but you wont get much interest anywhere.

Sorry to hear about the redundancy

Mrs_Money

I don't want to be the voice of doom here but I don't think you'll get much monthly income with interest rates as they are. If you found an account with 3% - that would only earn you £660 per year and so many of them have strings attached.
All our family have Cash ISAs with the Nationwide - now 0.25% interest if you have under £10000 and only 0.35% if you have between £10000 and £24999! So we've been looking for anywhere to save what we had squirrelled away to put in our ISAs after April 5th - not very much out there, but some of them (even after tax) do beat current ISA interest rates - how bad is that?!!!
Anyone out there know of anything better?

Baldur

There are fixed rate ISAs available that offer around 3% and accept transfers - mine certainly wouldn't be sitting in Nationwide for a moment longer than necessary - read through this post - http://forums.moneysavingexpert.com/showpost.html?p=4603369&postcount=1

DiggerUK

Lemonadelifestyle,
All interest rates are the pits at the moment, they can only go up from here. When we don't know.

Go with max in this years cash ISA. I suspect that the ammount allowed will go up in budget.

NSI Index linked for 3 years will give you a guaranteed 1% + RPI. I think it is inevitable that inflation will rip.
Loss of bonus if you cash early.

Then have some fun, put the rest in Premium Bonds. It's safe, instant access and you never know!! Rubbish interest though, from 0% to a million pounds.

Best of fortune.

http://www.nsandi.com/index.jsp

lemonade_lifestyle

Thanks all. We bank with Lloyds...am in the process at the moment of making sure we don't have any savings(hahahaha:rotfl:) or excess money in any banks which we owe money too!!!

It would be nice to get a bit of money back on interest with this cash, but we weren't hoping to live off the interest. We want to live of the lump sum, little bit by little each month...hoping that by the time it runs out OH will have another reasonably paid job!!!

The isa thing sounds good, with everything else going one never began to contemplate spliting it up!!! DOH, and i'm usually q switched on!!