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savings advise pls!
Brodiebobs
Posts: 1,032 Forumite
We have a relative who is really bad with money. They have recently come into some inheritance and paid debts off, but have an amount remaining, £6,000.
They will need this in a savings account, and because of the past problems have asked my DH to either have the account in his name, or be a signatory (sp?) on the account so they cant blow it.
It will need to be accessable as they may need the funds for living expenses, hopefully with a decent interest rate. We've had a look around and only decent accounts are ISA's, but i preume they can only be in one name? And i dont know the implications of DH having it in his name when its not his money!
They will need this in a savings account, and because of the past problems have asked my DH to either have the account in his name, or be a signatory (sp?) on the account so they cant blow it.
It will need to be accessable as they may need the funds for living expenses, hopefully with a decent interest rate. We've had a look around and only decent accounts are ISA's, but i preume they can only be in one name? And i dont know the implications of DH having it in his name when its not his money!
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Comments
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And i dont know the implications of DH having it in his name when its not his money!0
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If you want instant access, then you'll be looking at around 3.1% AER.
If you can lock the money away, then 3.6 - 4.2% AER (assuming 1 - 2 years)
You will not get 6K into a new ISA, as the limit is £5340.0 -
Don't put it solely in your DH's name. If you do, it will counted as his money and could affect any benefits you need to apply for. That might not be a problem now but you don't know what's in the future.
If it goes into a joint account, half of it will be his money.
Would this work - an online account in your relative's name but using your DH's email address and not telling the relative the password so that money can only be taken out through your DH?0 -
Thanks guys, given us some things to think about. Could we put the money in an ISA in relatives name and DH be a signatory?0
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And yes Mojisola that could be a good idea. We were thinking of putting the money in DH name and just finding the relative the money they require from our own funds, as and when needed, so we could lock it in a high interest account.0
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if they lack discipline then it might be advisable to go for a fixed term product that they cannot access unless on death until the end of the term, rather than with a penalty0
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thanks for the suggestion ses but they are on a low income (but is working) so the money maybe needed for living expenses.
We are not limiting the amount they withdraw, more of a deterrant for spending it on drink and loose women!0 -
Brodiebobs wrote: »more of a deterrant for spending it on drink and loose women!
Spoilsports! (Only joking;))0
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