RPI 4.5%, so what rate on your savings are you getting after tax?

luvpump

N1AK wrote: »

It evidently matters to you as you started a thread talking about savings and went straight into talking about your house.

I have £17k earning 4% in two first home saver accounts (5% gross)
The rest is in a combination of ISAs, Zopa and regular savers and best guess is ~3.5% net (post tax).

I know based on current inflation I'm losing out. I'm not convinced that a house makes a good investment if inflation stays moderate (<8%) as house prices are falling in cash terms (and thus even harder in real terms).

Yeah similar to me, i have 51k at 5% and 25K at 4%, so i guess i am just about at standstill on my savings, but waiting for the moment when i take the plunge & buy my first property ..

Thrugelmir

FATBALLZ wrote: »

Is the idea not that when you do a rights issue, the company grows by the value of the new shares issued, therefore existing shares are unaffected?

Rights issues are normally offered at a discount to the prevailing market price to encourage existing investors to take them up.

The value of the Company only technically increases by the net amount of cash raised by the rights issue. (Underwriting fees being one of the major costs).

So with more shares now in issue the net asset value of each share is lower. If you don't take up the rights issue personally, then your shareholding stake in the Company is also diluted.

LilacPixie

what is Zopa like?? Do you have to lend a lump sum at once or can you keep adding to it monthly?

Procrastinator333

LilacPixie wrote: »

what is Zopa like?? Do you have to lend a lump sum at once or can you keep adding to it monthly?

I haven't used Zopa myslef, but it is very well established now. You can put money in lumps or regular, whatver you like.

You can micromanage and pick the exact people you lend to. Or you can set it to spread your loan across many people.

When the borrower pays back, they return a bit of the capital each time as well. So you get 36 or 60 payments of exactly the same size.

The downside to Zopa is that there is no way to get your cash out early. No way at all.

Personally that emergency exit is very important for me and that is why I use funding circle instead. But FC is much newer than Zopa.

LilacPixie

thanks procastinator. I'll have a look at both.

ceridwen

Procrastinator333 wrote: »

I haven't used Zopa myslef, but it is very well established now. You can put money in lumps or regular, whatver you like.

You can micromanage and pick the exact people you lend to. Or you can set it to spread your loan across many people.

When the borrower pays back, they return a bit of the capital each time as well. So you get 36 or 60 payments of exactly the same size.

The downside to Zopa is that there is no way to get your cash out early. No way at all.

Personally that emergency exit is very important for me and that is why I use funding circle instead. But FC is much newer than Zopa.

That makes Zopa look like it might be feasible for me personally then - ie that I could choose the exact people I lent to...

Do you have a link for this scheme please - and the particular bit that says one can micro-manage to that extent?