reccommend me a large-value, short-term, savings account or better idea?

rb_at_the_zoo

:rolleyes: ...obviously I mean 'recommend'.

Apologies for x-posting - I have also posted a longer version of this (with justification/backstory) in the 'house buying and selling' section. Basically we've sold our flat before finding a new place and we're renting with friends. This means we will soon have the excess money after paying back the mortgage lender.

The question is, what should we do with the deposit? We will have approx 100k, which we will need in less than a year, and at shortish notice (we hope) and we don't want it to rot in a current account.

thanks.

Rafter

Split it in 2 - you don't want more than £50k with one institution - this is the legal 'limit' of the bail out from the government guarantee scheme.

Then it is a matter of just how urgently you might need the money.

You have 2 choices:

Instant access variable savings. Good rates, instant access, rate increases if the bank of england does raise base rates.

Fixed bonds. Possibly better rates, no instant access (without penalties).

Moneyfacts or moneysupermarket should be able to get you the best buy tables you need.

Good luck

R.

G_M

Split it in 2 - you don't want more than £50k with one institution

If you hold it in a joint account you are protected up to £100K.

Take a look at Investec's High Five account.

The rate changes every week but always = the average of the top 5 accounts listed by Moneyfacts, so it's always nearly the best-paying account. This week's rate is 3.12%.
You need to give 3 months notice, and need a minimum balance of £25K. It is post/phone operated and it IS covered by the FSA’s £50K compensation scheme (100K joint a/c). You also get £50 on opening if referred. Moer info here.