£3000 to put away

freddie6953

Hi,
My folks have recently retired and have £3000 to invest,they been told by hsbc about an account where they lock their money away for 3.5 years and should look to getting back 18 o/o interest.

Has anybody got any views or ideas about this please?

They dont want to access the money,but just put it away

Kindest regards

joerugby

18% over three and a half years is equivalent to about 4.85% gross interest per annum. I don't know this product but my guess would be that the return is not guaranteed. If it is linked to the stockmarket the return could be zero in certain circumstances. You should ask about this.

I would imagine also that early withdrawals might involve some loss of capital. You should ask about this too.

The best option for your folks would depend on their circumstances, particularly their attitude to risk and tax position. Either way there are probably better options.

bradlystaton

Yeah that is the only good place where your money will pay safe and you will receive good interest and also there will be no harm to your money. I too deposit money hsbc or hdfc i dont prefer other banks because they wont provide any security to our money.