Inheritance Suitable Account?

aqua111

A Relative is to inherit £40,000app.
He is receiving Income Support due to long term sickness.
Thankfully he will now have money to live on.
My question is,which type of Bank Account would earn interest even though he will have to withdraw money frequently?

xylophone

He might want to open two of the new TSB accounts.

http://www.abouttsb.co.uk/press_and_media/news_releases/12_03_2014_5_per_cent_interest_from_the_bank_acount_thats_not_like_other_bank_accounts.html

Perhaps a Santander 123 account - he could switch his direct debits?

http://www.thisismoney.co.uk/money/saving/article-1583859/Best-savings-rates-General-savings-Internet-branch.html

Will the capital affect his means tested benefits?

aqua111

Yes he will receive only ESA about £60 per month.
He will pay Rent and full Council Tax etc.

aqua111

He does not have a Bank Account and pays bills by cash but of course he will need one now.

badger09

aqua111 wrote: »

He does not have a Bank Account and pays bills by cash but of course he will need one now.

In that case, he might struggle to open one of better paying current accounts. Have a look here

https://forums.moneysavingexpert.com/discussion/319736

and here

https://forums.moneysavingexpert.com/discussion/596724

should be relatively easy to open a savings account while he/you do some research