Sorted Kids - Now me!

Mimi_Arc_en_ciel

I'm really sorry that I keep bothering you all with what seems like silly questions but I am so so grateful for your help...


As you know, I save for my children and have been doing so for the past year.


I now need to sort myself out with some savings. I don't have a lot of savings, In all honesty I've probably only got around £1000 for emergencies. It's just sitting in my standard account but I want to sort this out.


Now, debt wise - I have a CC which I use for every day spends, has a cash back scheme and I always pay back in full at the end of each month but this is the only debt I have (I rent at the moment but will be moving into my own house soon which I've inherited so I won't have a mortgage, so it will be just general household bills)


I put around £100 a month away each of the girls, and am looking to try and do the same for myself. Yes I know this isn't much, and yes I should have really done all this a lot sooner but better late than never I guess


I think the Nationwide NISA is probably going to be the best place for me to start - but can someone just have a really quick look for me?


Thank you so so much

Archi_Bald

Don't bother with any cash ISA as you can get hugely more interest elsewhere. For the amount of money you are talking about, the TSB Plus current account is ideal. Open 2 of them, put £500 into each of them to start with. Set up an SO on each to send £500 to the other once a month, on the same day. Then add your monthly £100 to either or both the accounts. Do this until you have £2,000 in each of these accounts, then evaluate the market again.

jimjames

Do the transfer suggested by Archibald above using a Halifax current account and you'll boost your return.

Together you'll get equivalent of 12.5% on £1000. Bet you can't find an ISA paying that!

Archi_Bald

Ah yes of course, jimjames is right. I keep forgetting about the Halifax Reward.

The Reward needs two DDs as well - but that is easy to achieve. Just set up 2 Tesco Savings accounts and pull £1 into each each month, from the Halifax account.

Mimi_Arc_en_ciel

Archi_Bald wrote: »

Ah yes of course, jimjames is right. I keep forgetting about the Halifax Reward.

The Reward needs two DDs as well - but that is easy to achieve. Just set up 2 Tesco Savings accounts and pull £1 into each each month, from the Halifax account.

Thanks! Although I noticed this needs £750 each month which I don't have right now. I think, for now I will do the TSB account and then swap to Halifax next year once the TSB AER has been paid out.


Thanks again for your help you two x

atush

Personally, I t hink saving for children is important. But not as important as your own financial status as you pay for and care for them. So you have done things in the wrong order.

Cut their savings back to 25 per month per child and whack up your emergency cash and start a pension. Once your emergency funds are at least 3 months essential bills then increase the children's savings. Or even mroe than 3 months as you are now a homeowner and you will have maintenance and repair to consdier and save for.

No point in healthy accts for children sleeping under a leaky roof.

jimjames

Mimi_Arc_en_ciel wrote: »

Thanks! Although I noticed this needs £750 each month which I don't have right now.

You just said you have £1000? So you have £750 to do that already.

Mimi_Arc_en_ciel

atush wrote: »

Personally, I t hink saving for children is important. But not as important as your own financial status as you pay for and care for them. So you have done things in the wrong order.

Cut their savings back to 25 per month per child and whack up your emergency cash and start a pension. Once your emergency funds are at least 3 months essential bills then increase the children's savings. Or even mroe than 3 months as you are now a homeowner and you will have maintenance and repair to consdier and save for.

No point in healthy accts for children sleeping under a leaky roof.

I know I've done it in the wrong order - the children's money comes from the maintenance money I received from my ex - I wanted to see whether I *could* save (this is the first year I've ever really had money - grew up a lot just recently) I don't want to cut the children's money (It isn't that much tbh! The eldest gets £97 a month, the youngest gets £69 a month)


I have a pension through my work - I haven't looked at a separate pension yet. This is next on my list of things to do


I know what your saying though about the house and I really do appreciate the advice but I am starting out very late so am a bit at a loss of what to do. I started the Kids savings when we had a bereavement in our family. It was important for me to leave them something behind in case anything ever happened to me. Now I'm trying to sort out my own savings, now that I KNOW I can save (Does that make sense?)


I'm expecting a bonus from work which will be £1500 but this wont be until December. This is guaranteed so will be put away for emergencies (And will not be spent on Christmas )


I think once I've got this money saving thing sorted, which to be honest shouldn't take long, I'll start looking at pension schemes next


Thank you though - its appreciated:)

Mimi_Arc_en_ciel

jimjames wrote: »

You just said you have £1000? So you have £750 to do that already.

Yes I have £1000. The Halifax accounts state you need a minimum of £750 a month. I don't have £1500 (750 x 2) to do it with Halifax


I could probably do it with Halifax and TSB but until I get home (am at work) I cant check

jimjames

Mimi_Arc_en_ciel wrote: »

Yes I have £1000. The Halifax accounts state you need a minimum of £750 a month. I don't have £1500 (750 x 2) to do it with Halifax


I could probably do it with Halifax and TSB but until I get home (am at work) I cant check

It's the same £750 so you don't need £1500.

So transfer £750 from TSB to Halifax. Then transfer it back again to TSB. Then top up TSB with whatever extra you want to add that month.

Mimi_Arc_en_ciel

jimjames wrote: »

It's the same £750 so you don't need £1500.

So transfer £750 from TSB to Halifax. Then transfer it back again to TSB. Then top up TSB with whatever extra you want to add that month.

I'm confused.... (It really doesn't take much to be honest!)


Ok, so do you mean - open up a tsb account with £1000


Transfer £750 into the Halifax say on the 1st of each month...


then transfer it back into TSB on the 2nd of each month ...


Then into Halifax


and so on?