Lump sum & monthly deposits

nick1611

Can someone give me some advise please. I'm looking to deposit around about £2,000 as a lump sum and then make £200 monthly deposits on top. So for I looked at regular monthly saving accounts but they don't allow lump sum deposits and the fixed rate accounts I've looked at only allow a lump sum deposit. The only thing I can think of is a ISA but the rates aren't that great?

opinions4u

Open a regular saver account with, say, £500 and set up the standing order for £200.

Barclays at 6% perhaps.

Bang the rest in the best paying ISA you can find (assuming you're a taxpayer).

Nat West or Barclays have variable rates around the 3.5% mark (check this) that may fall, Halifax have a fixed one at 3% that allows 4 withdrawals in a year.

nick1611

cheers for the advice

fanheater

opinions4u wrote: »

Open a regular saver account with, say, £500 and set up the standing order for £200.

Barclays at 6% perhaps.

Bang the rest in the best paying ISA you can find (assuming you're a taxpayer).

Nat West or Barclays have variable rates around the 3.5% mark (check this) that may fall, Halifax have a fixed one at 3% that allows 4 withdrawals in a year.

you can't open a barclays regular saver with £500, you can only add £250 each month. you can stick £500 pm in the halifax equivalent but it only pays 4% a year.

I agree though, the first £2000 in an ISA and then £200 a month in the barclays regular saver. the barclays golden ISA pays (relatively) well so the OP can at least keep the money all with one bank, if not in one account. The OP is right as far as I know, there's no way of doing it al lwith one account.

johncolescarr

Don't be put off cash ISAs, even though interest rates are low at the moment as you will benefit from tax free interest compounding in the future, hopefully for higher rates of return (assuming you will want to invest for a few years)