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Best place to save money in both the short & long term?

My friend has their debt on a 0% card which expires at the beginning of October I think. They currently have approx £2,300 saved to repay the debt and they intend to save approx £400 a month from now until the end of September 2012. As the person will be debt free when they repay this debt (see my signature) they then want to continue saving approx £400 a month but they want to know where should they be saving this money.

Can anyone tell me where should they save their money bearing in mind they will be withdrawing all the money at the end of September?

Comments

  • xylophone
    xylophone Posts: 45,702 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Highest paying instant access account? This might be an instant access ISA?
    http://www.moneysupermarket.com/savings/
  • R_P_W
    R_P_W Posts: 1,526 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Hi - wow congratulations to your friend for dealing with that level of debt.
    For the immediate money saved to pay off the rest of the 0% card, personally I wouldnt worry a great deal about where as its not a huge amount and it will only be in there for 3 months.

    As for saving after September depends on tax circumstances but I would consider wither the best cash isa you can find or try and get one of the regular savings accounts that pay higher levels of interest.
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