Savings advice?

imp566

I'll try and keep this brief! We have recently had a small endowment mature, and have around £5,000 to play with. This money was from an endowment linked to my mortgage, but matured 1 year into a 5 year fixed rate, with charges linked for overpayment or early repayment. Obviously paying it into my mortgage account at this point in time is not an option, so my thinking is to put it into a "high" interest account or Fixed Bond until I can pay it off my mortgage at the right time. I don't have a Cash ISA at the moment, but will be taking one out sometime this year, so don't want to put this money into one of those as it will restrict my ability to save that way later this year.

Any advice where I should look to invest it - bearing in mind I don't want to risk a poor return (ie Stocks & Shares ISAs) because I want to money to grow before I put it into my mortgage account in 4 years time.

MoneySaverLog

Why not stick it in a cash ISA, if you want to save later you could look for a high rate regular saver like the ones First Direct or HSBC do, 8% and 6% respectively.

Then when the regular savers mature you could stick that money into the following years ISA and start all over again.