Calling all Potential FTB's - where are your deposits held?

RenovationMan

I currently have a 3 year base rate tracker mortgage that allows me to overpay just 10% each year. After sorting out this mortgage, I 'sold' part of my house to my parents and I'm now looking to invest this money over the next three years until I can pay it onto the mortgage.

As this is effectively a house deposit, I was wondering if people on here would be interested in sharing where they're holding their deposits and what their returns are in order to help each other get the best return for our money, over what is probably a short-term period before you guys buy and I pay this onto my mortgage.

I have so far paid £30k onto my mortgage and next year will be allowed to overpay £27k, the year after £24,300 and the following year whatever I like before I sort out a new mortgage.

I therefore need a 1 year, 2 year and 3 year saving plan and have so far sorted out a 2 year fixed rate bond with Santander, with a 3.75 rate.

Whats everyone else doing?

Graham_Devon

http://www.moneysavingexpert.com/news/banking/2010/07/savings-trackers-launched-for-base-rate-gamblers-?utm_source=forum&utm_medium=sidebar&utm_campaign=box

Martin has done an article.

Might be of use to you, if base rates rose, you'd then take a knock on the mortgage, but a rise on the savings.

LydiaJ

I don't know when the right house to buy may turn up, so I can't lock mine away in fixed rate bonds. I've got it in a variety of instant access accounts (spread so no more than £50k in each) paying between 2.5% and 3.15%.

RenovationMan

Graham_Devon wrote: »

http://www.moneysavingexpert.com/news/banking/2010/07/savings-trackers-launched-for-base-rate-gamblers-?utm_source=forum&utm_medium=sidebar&utm_campaign=box

Martin has done an article.

Might be of use to you, if base rates rose, you'd then take a knock on the mortgage, but a rise on the savings.

Thanks Graham. I did see that article and thought it'd be a brilliant way to hedge my bets on low interest rates. However, I really do feel that I'm not taking too big a gamble on low rates and so I'm happier trying to get short-term fixes on a higher rate than those accounts offered.

neverdespairgirl

A mixture. Some normal savings accounts, crap interest, instant access. Some Premium bonds. Quite a lot in fixed-term NS&I bonds. Some shares.

Procrastinator333

I had been sticking to my original plan of putting everything in index linked NSI.

Not decided where to put the next chunk.

RenovationMan

I was all set to max out the NSANDI Fixed interest account and they went and closed them just days before I was about to apply. That'll teach me to get my act together sooner

PasturesNew

LydiaJ wrote: »

I don't know when the right house to buy may turn up, so I can't lock mine away in fixed rate bonds. I've got it in a variety of instant access accounts (spread so no more than £50k in each) paying between 2.5% and 3.15%.

Mine too, can't tie it up.

Impressed by your returns though.

Mine's all in random banks, where I shoved it in 2008. I found opening bank accounts very difficult to do as I didn't have a secure address when I was trying to open them online (communal hallway, all letters just dropped through the letterbox and randomly placed on an open table). So I sometimes found that having 'applied' they'd THEN tell me they were sending a form to my address and I had to supply copies of ID within 14 days.

Thing is, I hadn't used my address, I'd used my parents' address and they were mailing stuff randomly off to me every 2 weeks or so ... so by the time I got the form etc, it was too late ... and I still didn't have the ID they wanted ... and ... I just stopped bothering.

Which accounts is yours in then?

Maybe I could have another go of jiggling it all about.

Mine's still in £35k pots, since before the limit was increased to £50k. Too many accounts, too many pots, hard to keep track of it all. I think, somehow I ended up with eight different accounts, three cash ISAs .... and some accounts just have the £1 opening balance in.

I keep meaning to see where it all is again sometime.

PasturesNew

RenovationMan wrote: »

I was all set to max out the NSANDI Fixed interest account and they went and closed them just days before I was about to apply. That'll teach me to get my act together sooner

I looked at those accounts quite a few times, at first I couldn't understand it at all ... then I decided to just apply anyway, but somehow I f3cked up the application process and it just never happened... then I tried a year later to resurrect the idea and get an account and again I failed miserably.

Can't remember what I did, but it was a very confusing system.

I think that maybe they refused to believe I am who I say I am, or something... can't remember. But it was bl00dy hard to understand/achieve.

sss555s

They are expecting to raise the protected limit per institution to £85k at the end of the year...

http://www.ft.com/cms/s/2/46173e78-9106-11df-b297-00144feab49a.html

You can stick £21k between 3 Lloyds TSB Vantage accounts which pay 4% gross instant access...

Loads of threads like this explain how... http://forums.moneysavingexpert.com/Savings

I realise this may be small change to you guys

PasturesNew

There's a £1000 minimum on the Lloyds account .... I've always stayed away from accounts with minimums in as I'd have to set up/remember some method of paying in enough each month (I don't earn that much).