House sale funds

Misterb76

Been looking around on here and can't find an answer...
We're due to complete on our house sale soon, and have decided to rent as we're moving to a new area we don't know well. The question is, what do we do with the money? Savings accounts dont look good value at the moment but don't really want to gamble on the Market. I expect us to have the cash for 6-12 months before we dip back into the Market. Can I give my son the money and him get a gross interest rate, I suspect not, but can't seem to find an answer anywhere that doesn't mention inheritance tax, and I'm hoping that's not going to be an issue

antrobus

Misterb76 wrote: »

Been looking around on here and can't find an answer... We're due to complete on our house sale soon, and have decided to rent as we're moving to a new area we don't know well. The question is, what do we do with the money?

You put it in an account with the bank or building society of your choice.

Misterb76 wrote: »

Savings accounts dont look good value at the moment but don't really want to gamble on the Market. I expect us to have the cash for 6-12 months before we dip back into the Market.

Given that you intend using the money for a house purchase within the stated time frame, It would not be appropriate for you to invest/gamble the money on any market whatsoever. Savings rates may not look attractive, but then if they were attractive, the borrowing rates you'd eventually be charged wouldn't be looking so attractive. Stick it in the bank.

Misterb76 wrote: »

Can I give my son the money and him get a gross interest rate, I suspect not, but can't seem to find an answer anywhere that doesn't mention inheritance tax, and I'm hoping that's not going to be an issue

How old's your son? If he's a minor then it definitely won't make a difference.

Misterb76

He's 2 - so are you saying this will be ok to put it in his name?

jennifernil

Noooo! If it gets interest over £100 it will be counted as yours anyway.

You just need to find the best return you can. If your wife pays less tax than you, put it in her name.

Misterb76

Thanks for your quick and clear answers everyone