Where is the best place to save £8,000+?

kemo_2002

Best place to save 8k? My husband is a tax payer & i am a non tax payer (not likley to change within at least the next 7-10 years) he has 10k in NS&I linked acount (which will be staying there)

I have a first direct reg saver earning 8% that i top up with 300 per month. Any excess cash goes into our nationwide esavings, paying pitance, and we have accumalated 8k in there now. I also have profits from my business saving in a regular account, in April, i should have a further £5k making £13k in total by 2013.

Would ISAs be the best place to put it (dont have any) we will probably be needing access to it in 1-2 years time as we are saving to do a loft conversion.

Many Thanks

anselld

No advantage in ISA foryou if non taxpayer and you need the funds in a couple of years. Look for a better paying savings account, 3%+ easily available. Best in your name only with a R85 form registered to get interest gross.
Also, your OH could also have a FD reg as even if he is a high rate tax payer the net interest rate is still 4.8% ( 6.4% for standard tax payer)

MoneySaverLog

HSBC Regular Saver 6% if you can qualify for their Bank Account by funding it with £550 a month, could move on from there £250 to their regular saver, and £300 to FD for their regular saver.

Alternatively I understand YBS are offering an account at the moment which is paying 4%, but think you'll have to be quick as I hear it's getting pulled like today If they have not already - http://www.ybs.co.uk/campaigns/builtontrust/good-honest-products.html

Your husband should really have a ISA.

psychic_teabag

While there's no tax advantage to an ISA, at the moment, instant-access ISAs are paying a little more than their non-iSA counterparts, so are still worth considering. The same is not true for fixed-term accounts, though.

xylophone

http://www.moneysupermarket.com/savings/
You each have a cash ISA allowance of up to £5640 for this tax year.
There are much better paying accounts than the nationwide e-savings.http://www.moneysupermarket.com/savings/