best way to invest 5 grand?

lesta1980

Hi guys, I hope this thread is allowed as im just after a bit of advice

I have about £5000 in invest in something safe that ideally pays every month so it builds. I don't want it locked in for years either and also hopefully be able to top it up if possible.

I know it pretty vague but all suggestions will be appreciated

thanks

gozomark

Based on what you've said, you should be saving not investing. What's the longest you are prepared to not have access to (part of) your money ?

lesta1980

gozomark wrote: »

Based on what you've said, you should be saving not investing. What's the longest you are prepared to not have access to (part of) your money ?

as long as it is actually doing something I don't really mind if it sits there forever, but I would like to be able to get hold of it if I needed to, if that makes sense

dunstonh

as long as it is actually doing something

What is your definition of doing something?

Most investments will have periods of doing nothing or going backwards as well as going forwards.

Ifts

Do you have other savings that are readily accessible, or just this £5000?

lesta1980

dunstonh wrote: »

What is your definition of doing something?

Most investments will have periods of doing nothing or going backwards as well as going forwards.

earning, i'd prefer it to earn monthly instead of sitting for a year to get an interest or reward or whatever

lesta1980

Ifts wrote: »

Do you have other savings that are readily accessible, or just this £5000?

a little bit stashed in shares but the price is too low to do anything with them at the moment

Ifts

aidan1980 wrote: »

a little bit stashed in shares but the price is too low to do anything with them at the moment

In that case if you do invest this £5k, then due to investment risk when/if you need it you may find yourself in a similar position to the above again.

I see you mention receiving interest payments, in which case stick it in the best paying easy access account (safer but exposed to inflation risk).

Do you pay tax? If you do, and haven't got an ISA already then maybe have a look at opening a Cash ISA.

Ifts

If you do intend to go down the savings route as opposed to investing it, then it may be worth you having a read through this article - Where to start saving: http://www.moneysavingexpert.com/savings/savings-accounts-best-interest#where

onthebreadline

Not sure if this is what you are looking for but Santander have what they call a "DAILY INTEREST ACCOUNT" which calculates - believe it or not - interest daily !!!!! now for the BUTTS .....BUT the interest is only added to your account at the end of every month (which means you get interest on the interest the following month) and for the second BUTT ..... BUT this only applies up to a maximum balance of 2,500, you get no interest over this balance.

Not sure if you are allowed 2 of the same accounts. AND IF you set up either 2 SO OR DD, pay in 1000 a month, they give you 100.00 on top. So just set up a SO, DD and the 1000 will go round in circles. Pay in, pay out.

Why not check with them, they may even have a better deal, than the one above. There is always the ISAS in which the interest is tax free.

Let us know, how you get on.

xavisxavis

onthebreadline wrote: »

Not sure if this is what you are looking for but Santander have what they call a "DAILY INTEREST ACCOUNT" which calculates - believe it or not - interest daily !!!!! now for the BUTTS .....BUT the interest is only added to your account at the end of every month (which means you get interest on the interest the following month) and for the second BUTT ..... BUT this only applies up to a maximum balance of 2,500, you get no interest over this balance.

Not sure if you are allowed 2 of the same accounts. AND IF you set up either 2 SO OR DD, pay in 1000 a month, they give you 100.00 on top. So just set up a SO, DD and the 1000 will go round in circles. Pay in, pay out.

Why not check with them, they may even have a better deal, than the one above. There is always the ISAS in which the interest is tax free.

Let us know, how you get on.

I may have misunderstood you - but from what I know, all savings accounts calculate interest daily and pay out monthly/annually. No?