confused?!

rikih

hi all im am kinda new to the whole saving thing. i have got a few isa's with a bit of money in them.

my question is, i have have been looking into opening a new current account (premier direct account AL) which pays 5% AER but then looking into savings accounts they are paying about 2.7% so am i better off getting a current account and leaving my money in there to earn some better interest?

i have used my tax allowance for this year so im kinda stuck on what to do next.

thanks for you help people :money:

Reaper

The Premier Direct current account only pays that interest rate on the first £2500 and only for the first year,and only if you pay in £500pm. If your savings are within those limits then yes, put it all in the current account and think about moving it after a year.

rikih

thanks reaper. i think i will only be able to invest about 2500 for the rest of the year. the account says £500 has to be paid in a month but doesnt have to stay there does it? otherwies it'll end up having £6000 by the end of the year!

Reaper

No, you can pay in £500 and take it out again immediately. You can even set up standing orders to automate the process.


PS Remember to get the extra cash by going via Quidco or visit the Referers Board and see the referral thread there. You should be able to get at least £50, probably more.

rikih

thanks alot. i will have a look now. is this one of the better account out there or do you know of any better?

Reaper

See the Best Bank Accounts article. It's one of the top 3. I have an account.