Best place to keep loan

abnorris

Hi,

I've recently received a professional career development loan (just short of £5000) which will have a sole use of paying for my rent for the next year. Now I would like to keep this money away from my other money so that I dont go spending it on booze on a night out etc, but i figured I might as well try and get the most of it as well in terms of a return. The money will slowly trickle out once a month over a year when rent needs paying so need to be able to withdraw it at will. What would people recommend me doing with it, I was think premium bonds, but is there a better way??

Cheers
Andy

chambta

Do you want the hassle of having to arrange to withdraw from the Premium Bonds every month?

What about looking for a current account that pays interest that you can send a standing order from each month until empty? Divide it by 12 and set a final date. Some may have funding requirements for interest but nothing stopping you cycling additional money out and back in to achieve this.