What to do with with my redundancy money??

bluebird1979

Hey everyone


first post here so take it easy on me.


anyways, my question is that as a result of being made redundant last month ive now been paid my redundancy money. a nice hefty some of around £5500.


what I would like to know is what best to do with it so that it accumulates the most amount of interest in a short time.


I will be using the money next year to pay for my wedding venue. so until then I'd like to put it somewhere other than my e-savings account that its currently in with Natwest.


Granted its going to be all spent next year, so is it really worth opening up an ISA for it?


am open to any other suggestions you kind people may have

kidmugsy

Open two Plus accounts at TSB, £1.9k in each.

Open a Nationwide FlexDirect with the £1700 left over, and have it exchange £500 per month with each of the Plus accounts. Done.

Archi_Bald

kidmugsy's suggestion is your very best option, unless you are unable to get current accounts.

bluebird1979

apologies for sounding a bit thick, but what does all that mean ? lol


and what will it benefit me from opening up these separate accounts ??

Archi_Bald

bluebird1979 wrote: »

apologies for sounding a bit thick, but what does all that mean ? lol

go to the TSB / Nationwide websites and it should all become clear. You are looking for current accounts. There are also threads on here about these accounts.

bluebird1979 wrote: »

and what will it benefit me from opening up these separate accounts ??

they give you the best interest rates, i.e. you make the most money that you can possibly hope to make.

bluebird1979

cheers archi & mugsy

atush

this is all assuming you already have another job and don't need this money to live on

bluebird1979

yeah, had another job to go to within a week of being put on gardening leave.

atush

Excellent.

Have you looked into your pension at the old place? If you c an leave it there or transfer it? Have you joined the new one?