Fixed Rate Savings Account

first_time_buyer_London

Hello I would like some advice on savings accounts. I have used up my ISA allowance and have about £15000 that I would like to put into a (fixed rate is possible) account ideally being able to add extra funds to it.

I am not interested in stocks and shares and I would prefer to open it using a bankers draft and NOT deposit the money with a cheque or online transfer plus I do not want to be tied in for over a year?

Many thanks

Sceptic001

Your criteria are well-nigh impossible.

Firstly, most fixed-rate accounts are also fixed term. A one-off deposit with no early closure or withdrawals (or a stiff penalty). So that limits you to easy-access accounts.

Secondly, most online accounts require an initial deposit by personal cheque, debit card or nominated current account.

Your best option (recommended to you in a previous thread) would have been index-linked savings certificates, but sadly these have now been withdrawn.

first_time_buyer_London

Thank you. Perhaps I should go for an easy access account that I could open with bankers draft then?
Unless I just put the £15000 in a fixed term (1 year) but I would prefer to add to it so I think I would be best going for an easy access.

Newly_retired

Skipton BS has a one year fix @ 3.45% that you can still add to after initial deposit as long as it is open to new business.
Not sure about banker's draft though.

Sceptic001

first_time_buyer_London wrote: »

Thank you. Perhaps I should go for an easy access account that I could open with bankers draft then?

If you can find one. Can anyone suggest an account that can be opened with a bank draft? You are probably limiting yourself to a branch-based account with a poorer interest rate than you would get from an online account.

first_time_buyer_London wrote: »

Unless I just put the £15000 in a fixed term (1 year) but I would prefer to add to it so I think I would be best going for an easy access.

You could tie up the £15k in a one-year fix and put additional deposits in an easy-access account. But the same problem arises with your bank draft. Why are you so determined to use bank drafts?

atush

Why don't you deposit your BD into a current acct and while that is going on, open an instant access acct and then transfer the funds?

first_time_buyer_London

Newly_retired wrote: »

Skipton BS has a one year fix @ 3.45% that you can still add to after initial deposit as long as it is open to new business.
Not sure about banker's draft though.

Thank you I will look into the skipton Building society account. Is there a name for this account paying 3.45 % that allows you to add to it? because they provide a lot of them on their website.

first_time_buyer_London

Newly_retired wrote: »

Skipton BS has a one year fix @ 3.45% that you can still add to after initial deposit as long as it is open to new business.
Not sure about banker's draft though.

Thank you I will look into the skipton Building society account. Is there a name for this account paying 3.45 % that allows you to add to it? because they provide a lot of them on their website. And I take it my money would be 100% safe with them? I'm presuming they are covered by the FSA or what ever?

Newly_retired

Look in Online accounts - E-bonds. There are various periods of time available abd annual or monthly interest.

calypso_rhapsody

I am intrigued - why do you want to use a Banker's Draft? I can understand being hesitant about internet and electronic security - but a cheque?

As it happens i've just opened a Skipton Ebond - paid using my debit card. I think cheque was an option but to be honest did not look beyond the debit card option. I would not count on being able to make additional deposits for very long - maybe a month or so until they close the issue (am not sure how long it has been open already)

Sparky47

first_time_buyer_London wrote: »

And I take it my money would be 100% safe with them? I'm presuming they are covered by the FSA or what ever?

You are covered by the FSCS up to £85k, or £170k for joint accounts.

Also note the Skipton and Scarborough BS are part of the same group, so only one lot of protection for both.