18 months highest interest investment wanted

longlegmoney

Hi All

I'm looking to invest £45,000 putting some into ISA for quick access, some into general savings account attached to my current account for immediate spend and £35,000 for 18 months into something with the highest, yet safe interest - I wont want to touch it for minimum 18 months.

Lloyds Bank have suggested bonds for the £35,000 low risk but a better interest rate of just under 4%.

Can anyone suggest the best place for investing the £35,000 and how for the 18 months?

Many thanks

Longlegsmoney

calypso_rhapsody

Be wary of the word 'bonds' and make sure you understand what Lloyds are suggesting. Bonds can mean just fixed term savings accounts or they could be corporate bonds - fixed rate but not covered by FSCS or they could be a form of equity investment. The latter is not suited to an 18 month timeframe, especially in volatile market conditions. Corporate bonds are riskier than savings 'bonds'.

I am not aware of any 18 months fixed savings accounts being available at present - Cahoot is paying 3.6% for a year and there are 2 year products paying a bit more (3.75% i think) - look at the link from the Banking Savings menu at the top of the page or go to another comparison website. Make sure you read the T&Cs - especially any restrictions on taking your money out ...

xylophone

http://www.money.co.uk/savings-accounts/fixed-rate-bonds.htm