What to do with £30k??

woodyt

Hi there,My MIL has recently inherited some money and wants to invest about £30k.
She doesn't want to take any risks in losing any of it, so just wondered if anyone could offer some advice as to what to do with it?
Many thanks
Woody t

calypso_rhapsody

If she does not want to take any risk, she will have a problem - as whilst putting the money in a good savings account with FSCS protection will eliminate the risk of total loss she will be losing value due to inflation ...

But setting that to one side, it would seem that savings account(s) will be the answer. If she is, or may become, a tax payer then using up her ISA allowance will make sense. Otherwise look at the best rates and pick what suits her needs best (eg is she likely to want access to the money? will she be happy to check every so often and move her money when bonuses expire? ). Click on the Top Savings account link at the top of this page ...

trollopscarletwoman

Stick it on black or red in the casino.

paddyrg

trollopscarletwoman wrote: »

Stick it on black or red in the casino.

Nah, scratchies.

In seriousness, if you don't want risk, bank savings account. If you want to make more money from it, you face risk. What's the right point of risk/interest for her? See an IFA

trollopscarletwoman

paddyrg wrote: »

Nah, scratchies.

In seriousness, if you don't want risk, bank savings account. If you want to make more money from it, you face risk. What's the right point of risk/interest for her? See an IFA

Did you see that fella on sky who travelled from London to Vegas and put his flat on red or black?

If memory serves he changed his mind last second on which colour.

He won.

Couldn't do it myself.

itch_for_a_glitch

trollopscarletwoman wrote: »

Did you see that fella on sky who travelled from London to Vegas and put his flat on red or black?

If memory serves he changed his mind last second on which colour.

He won.

Couldn't do it myself.

The story I heard was a Texan, half a million on red, he won and was treated like a king, next year a million on red, he won and was treated like a king, following year a million on red, he lost and was treated like a king.
He was still up on the game and had three nice weekends in Vegas.

Seriously ? £30k, safely ? I'd put it in premium bonds, she should get a small cheque most months.

ColdIron

woodyt wrote: »

Hi there,My MIL has recently inherited some money and wants to invest about £30k.
She doesn't want to take any risks in losing any of it, so just wondered if anyone could offer some advice as to what to do with it?
Many thanks
Woody t

If she doesn't doesn't want to take any risks in losing any of it she won't want to invest it and would be better off with a deposit account of some sort. If she is or will be a taxpayer have a look at an ISA for £5,760 of it. As for the rest she will struggle to do better than 2% in an ordinary savings account at the moment unless she wants to lock it away for some time

Right now the best interest rates are to be found in some current accounts. Have a look around the board for the Santander 123, Lloyds Vantage and TSB Enhance, these pay 3% though there is some setup effort required

ColdIron

itch_for_a_glitch wrote: »

I'd put it in premium bonds, she should get a small cheque most months.

Unless she is a higher rate taxpayer PBs almost guarantee a poor return of about 1.1%

trollopscarletwoman

I've done alright on premium bonds on £6000 compared to standard interest.

I reckon they fiddle it, giving you regular £25 pay outs, to ensure you keep your stake in.

typistretired

Bank current accounts are paying better interest rates, as well as those mentioned above there is the Nationwide flexdirect paying 5% on £2,500 and the Yorkshire Bank paying 4% on up to £3,000 balances. You need to read all their terms and conditions about payments into the accounts each month

ColdIron

trollopscarletwoman wrote: »

I've done alright on premium bonds on £6000 compared to standard interest

The 3% accounts mentioned would pay £144 after tax on £6,000, if you have done better than this you are in a minority of less than 4% of people who have. Most people would only get £75

Plug the numbers into the PB Calculator
http://www.moneysavingexpert.com/savings/premium-bonds-calculator/