Help needed for savings newbie

mrs_depp_2

Hello to all in Saving. I haven't ventured into here before but would appreciate some advice.

Mr DD has been working hard over the summer and acculated £500 she wants to put into a savings account. She is 16 and now at sixth form but will be continuing to work a few hours a week. She also get an monthly allowance from her grandparents and her father and birthday and Christmas money gifts so she would like to be able to add to her savings account as and when. She would also like instant access. Can anyone advise as what would be the best option.

Many thanks.

Lokolo

mrs_depp wrote: »

Hello to all in Saving. I haven't ventured into here before but would appreciate some advice.

Mr DD has been working hard over the summer and acculated £500 she wants to put into a savings account. She is 16 and now at sixth form but will be continuing to work a few hours a week. She also get an monthly allowance from her grandparents and her father and birthday and Christmas money gifts so she would like to be able to add to her savings account as and when. She would also like instant access. Can anyone advise as what would be the best option.

Many thanks.

Wow. We've got a Lady Gaga on our hands.

Ha I'm only kidding.

Ok Originally I would suggest Egg Savings account, but the rate has just dropped.

http://www.egg.com/visitor/0,,3_11093--View_401,00.html

2.5% is ok, not exactly the best though.

Its a good starting point though.

Also assuming she doesn't earn over her personal allowance she can get tax free interest, usually by filling an R85 form. With Egg its a simple button on their website once you've logged in though.

mrs_depp_2

Thanks for that. I'll pas it onto to her - she loves anything she can do on the internet!!

Lokolo

mrs_depp wrote: »

Thanks for that. I'll pas it onto to her - she loves anything she can do on the internet!!

Just thought I'd add, she may have some ID problems. Assuming she isn't on electroal roll they ask for a photocopy of passport and proof of address. I sent a bank statement.

fullstop

There is also ING who are offering 3.2% at the moment on their Direct Saver Account, new customers only(Yet Again). You might want to close the account after a year though as the rate will plummet but no doubt you can open a new account again with a better rate soon after.