We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
DD has been left some money!!
lrlrip
Posts: 590 Forumite
DD22 has been left a few thousand pounds. She is in her final year of Uni. and will be moving home when she has finished. She wants to start saving for a mortgage a few years down the line.
What kind of account should she open?
Should she pay in the lump sum or pay it in gradually to "show" that she can save (although at Uni. she is still good at saving)?
I really don't have any advice for her so any help would be gratefully received...thanks.
What kind of account should she open?
Should she pay in the lump sum or pay it in gradually to "show" that she can save (although at Uni. she is still good at saving)?
I really don't have any advice for her so any help would be gratefully received...thanks.
0
Comments
-
Either (i) she should open a Vantage current account at Lloyds TSB, paying in £1000 per month by flipping money back and forth from her present current account, and keeping the balance in the range currently required to earn 3% p.a. She should complete an R85 form to get the interest tax-free, or
(ii) She should open a Cash ISA (but she's likely to get less than 3% p.a. so perhaps she should reserve this option for when she is a tax-payer), or
(iii) She should open a Regular Saver that pays well: many commenters here like First Direct's account paying 8% p.a.
If she's a clever lass she'll work out a way of combining these ideas.Free the dunston one next time too.0 -
Thanks for that:)0
-
I wouldnt bother drip feeding it in to give appearance of saving, main thing is to get it earning max interest asap.Remember the saying: if it looks too good to be true it almost certainly is.0
-
Absolutely agree, there's no mileage in giving the appearance of regular saving. Also agree that earning max interest should be the main objective.
We have no idea how much "a few thousand pounds" is. So it is a bit difficult to suggest the best accounts. kidmugsy's suggestion sounds good if it's between 6K and 10K. If it's less, just a combination of 1) and 3) might be the best approach. If it's more, slightly different suggestions might be best.0 -
With respect, do we have to see Mumsnet terminology like "DD" used here ? I would hate to see this forum descend to the level of that one.No-one would remember the Good Samaritan if he'd only had good intentions. He had money as well.
The problem with socialism is that eventually you run out of other people's money.
Margaret Thatcher0 -
The terminolgy has been on here for donkeys years to be honets, probably before mumsnet was even thought of.
It's quite normal and used widely on the boards.make the most of it, we are only here for the weekend.
and we will never, ever return.0 -
-
opinions4u wrote: »I wish it wasn't.
It fits nicely with text speak in my book.
It should be outlawed!
Yes, I agree along with the word XMAS :mad::mad::mad:0 -
Sorry
I wish I had not bothered asking the question!!!0 -
thanks lrlrip, wish I hadn't given an answer.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.7K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.8K Work, Benefits & Business
- 603.2K Mortgages, Homes & Bills
- 178.2K Life & Family
- 260.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards