£25000 savings needs to be banked!

sindersoot

I have £25000 sitting in a bank account with virtually no interest. I closed a fixed rate savings account around a week ago. Received the money on Thursday so it needs to be put in a savings Bond or similar pronto!

Can anyone tell me if I should hold off until tomorrow to see if anyone comes up with a new fixed rate bond or is that highly unlikely?

I can afford to lock this money away if need be for five years but is it still best to opt for 1 - 2 yrs fixed rates at the moment?

Any help would be appreciated as I just don't know the best options.

KingL

Most people are favouring 1-2 years at the moment unless there's a get-out clause (e.g. withdraw but lose 90 days interest).

New offers come on the market all the time. For the sake of 1 day's interest, you might as well hang on.

Chances are it will take 1-2 weeks to do all the paperwork/security checks done to set you up. Do you have accounts already with bank(s) (that would speed up the application process). You can get 3+% in instant access savings if you want to keep your options open for a bit....

Also - do you know that the account where it currently is doesn't restrict you to, say, 10k per day withdrawal limits ?

And have you checked the best-buy section on the main site? (click on the orange "Banking Savings" tab at the top of this page.

D1zzy

KingL wrote: »

Most people are favouring 1-2 years at the moment unless there's a get-out clause (e.g. withdraw but lose 90 days interest).

New offers come on the market all the time. For the sake of 1 day's interest, you might as well hang on.

Chances are it will take 1-2 weeks to do all the paperwork/security checks done to set you up. Do you have accounts already with bank(s) (that would speed up the application process). You can get 3+% in instant access savings if you want to keep your options open for a bit....

Also - do you know that the account where it currently is doesn't restrict you to, say, 10k per day withdrawal limits ?

And have you checked the best-buy section on the main site? (click on the orange "Banking Savings" tab at the top of this page.

OP could do the NS&I fixed - 1year @ 3.95% is currently the best and the 2 & 3 year bonds are not far off the best. The advantage is that you can fund by debit card and it will go the day after completion of your on-line application - so avoiding the potential issues you highlighted.

Also agree with only committing to a 1-2 yr fix unless there is a reasonable early withdrawal option.