Which savings account is best? Please.

darrenwis

Hi all,

A family member is to have a payout from an insurance and will be getting around £17600.

I am just wondering what is the best savings account to put this in. She would need access to this as she may need to withdraw 1k or so in the next 6-12 months.

It will be savings towards a mortgage deposit.

Thanks.
Darren

xylophone

http://www.moneysupermarket.com/savings/?gclid=CLTYzNCm5bACFU4lfAodBEpV0g&source=GOO-131766A8&p=0&keywords=best+savings+accountExact&ef_id=zg29z9B6MjYAADLkFkwAAAAP:20120623212722:s

darren_5

Would it be best me splitting it up in ISA's or go and put it in the Santander
eSaver Issue 5

[Deleted User]

Hi,

you can only have one Isa each tax year,

ISA allowances are changing from 6 April 2012

From that date:

• The annual ISA investment allowance will be raised to £11,280. Up to £5,640 of that allowance can be saved in a cash ISA. The remainder of the £11,280 can be invested in a stocks and shares ISA with either the same or a different provider.

The Santander 3.10% with instant acess is about the best just now, but bonus is only for a year.

darren_5

Ok,

I think I will put the whole lot in the Santander then.

It it best to have monthly or annual interest.

calypso_rhapsody

If your relative only needs access to a small part of the total sum within 12 months, she could look at putting that amount into the Santander easy access account and the rest (eg the ISA annual allowance) into a one year fixed account.

Note that ISAs are generally any use to those who pay tax (or expect to in future) as the rate is usually lower than the gross rate elsewhere ... if your relative is a non-tax payer she can claim to get interest on a non-ISA account gross by filling in a form (i believe it is called R85)