Savings account

JemmaLouise_3

I am trying to save for a car, as i am currently unemployed i havent got much to save from, and wondered what the best way was to make extra money from a savings account and who is the best company to have a savings account with?

kingmonkey

Over what time scale are you looking to save for a car? I ask this as if its less than a year then the amount earned from the various savings accounts would be negligible.

Probably Marks and Spencer 3.1% Cash ISA would be the highest paying savings account for you. It includes a 1% bonus.

Other options would be the Barclays Monthly Saver at 6%.

JemmaLouise_3

I have 4 months to save for a car.

Thank you i am already with barclays too so that would be great

kingmonkey

I think over 4 months the difference in interest will be negligible (obviously dependent on how much you save per month.)

Barclays Monthy Saver is only worth it if you save for a whole year.

If you save £10,000 for 1 year in an account paying 0.5% (which is BoE rate) you will earn £50 if you don't pay income tax.

JemmaLouise_3

Hmm not really any point then. Thanks!

savetilibleed

JemmaLouise wrote: »

I am trying to save for a car, as i am currently unemployed i havent got much to save from, and wondered what the best way was to make extra money from a savings account and who is the best company to have a savings account with?

Best simple account is probably ING Direct. Interest is credited to the account monthly. Presently it is 2.75% AER (inc 2.2% bonus and minimum £1). Just trying to remember if mine opened quickly - don't think it was too bad. There was no need for ID to be sent that slows it all up. You'll want it up and running quickly. Bradford and Bingley eSaver 7 might be OK at 2.5%. Back when it was Internet Saver 3 that opened up without fuss but there is a £1000 min with esaver 7.

COOLTRIKERCHICK

i dont know how much money you have at mo, or even if you qualify for the account, but what about the Halifax and Bank of Scotland accounts that offer you £5 per month when you deposit 1k per month.

the loophole here is that you dont have to keep the money in the account, or even put the 1k in all in one go, so you could just keep putting money in and then taking it out, just to put it in again:D

but apart from those accounts, and the lloyds tsb vantage account, i dont know what other accounts that you could make quick money on..

good luck in saving for a car....

JemmaLouise_3

I shall have a look into those savings account then, thanks!