Please help me make the most of my savings

Jennie-1987

Hi,

I have received the notice for the end of my fixed ISA and have been looking at the NISAs and Savings accounts so that I can get the best rates now. I have to really send back my decision tomorrow because it arrived 10 days after its dated.

Monthly saving ability: £100 in August, £200 in September until December when I can start £300ish (car payments to my Dad finally end)

Current ISA: 1yr fixed 1.89% with Kent Reliance
Current savings: £4659.38
Current plan: Move full maturity to Easy Access 1.55% NISA with Kent Reliance, switch Current Account from Natwest Grad to First Direct and get £100, open First Direct 6% Savings Account and supplement monthly savings with NISA funds (more from NISA at first)

Can you please weigh in on your best choices?

Thanks!! :A

badger09

Jennie-1987 wrote: »

Hi,

I have received the notice for the end of my fixed ISA and have been looking at the NISAs and Savings accounts so that I can get the best rates now. I have to really send back my decision tomorrow because it arrived 10 days after its dated.

Monthly saving ability: £100 in August, £200 in September until December when I can start £300ish (car payments to my Dad finally end)

Current ISA: 1yr fixed 1.89% with Kent Reliance
Current savings: £4659.38
Current plan: Move full maturity to Easy Access 1.55% NISA with Kent Reliance, switch Current Account from Natwest Grad to First Direct and get £100, open First Direct 6% Savings Account and supplement monthly savings with NISA funds (more from NISA at first)

Can you please weigh in on your best choices?

Thanks!! :A

On those figures, forget cash ISAs. If you can, open 2 TSB current accounts - 5% on £2k in each, and go ahead with your switching to FD plan and regular saver - again if they accept you

Only mentioning 'if they accept you' as I've no idea what sort of credit history you have as a recent? graduate.

kidmugsy

Jennie-1987 wrote: »

car payments to my Dad finally end

Good for him, not spoiling you.

Jennie-1987

kidmugsy wrote: »

Good for him, not spoiling you.

Haha no no, I had to part exchange my faulty car so I couldn't get a good value but needed a new one asap - would have bought the rest on finance but he was nice enough to loan it to me (based on a good business case, he's not that easy!)

badger09 wrote: »

On those figures, forget cash ISAs. If you can, open 2 TSB current accounts - 5% on £2k in each, and go ahead with your switching to FD plan and regular saver - again if they accept you

Only mentioning 'if they accept you' as I've no idea what sort of credit history you have as a recent? graduate.

Thank you for the suggestion - just looked into it and found that TSB require you to pay at least £500 in a month..so does that mean I would get the rate on the £2000 in each account and then have to keep paying £500 a month? I wouldn't be able to pay that or anything actually given the FD Saver. Sorry if Im being stupid.

Im not a recent graduate, unfortunately have had 4 years in full-time employment though I do have £1k on a Credit Card (0%)

YorkshireBoy

Jennie-1987 wrote: »

...found that TSB require you to pay at least £500 in a month..so does that mean I would get the rate on the £2000 in each account and then have to keep paying £500 a month? I wouldn't be able to pay that or anything actually given the FD Saver. Sorry if Im being stupid.

You cross fund the accounts. Send £500 from account 1 to account 2, and then back again. Job done!

Jennie-1987

YorkshireBoy wrote: »

You cross fund the accounts. Send £500 from account 1 to account 2, and then back again. Job done!

Ah of course!

So...
Step 1. Ask for ISA money to be put in current unused Natwest e-saver
Step 2. Open FD Current account and switch asap
Step 3. Open FD Regular saver and pay £300 each month, using ISA to start with in supplementing income
Step 4. Open two TSB Current Accounts and pay £2k in each, moving £500 each month from one to the other or from FD to each and back again

:cool:

YorkshireBoy

Jennie-1987 wrote: »

Step 4. Open two TSB Current Accounts and pay £2k in each, moving £500 each month from one to the other or from FD to each and back again

Not quite. There's something else you have to do at TSB to ensure you get the 5% AER rate...opt for paperless statements and correspondence.


You can get a lot of help on here, but it's no substitute for reading the T&Cs of the account.

Jennie-1987

YorkshireBoy wrote: »

Not quite. There's something else you have to do at TSB to ensure you get the 5% AER rate...opt for paperless statements and correspondence.


You can get a lot of help on here, but it's no substitute for reading the T&Cs of the account.

Yes of course I will make sure to opt for online banking only.

kidmugsy

YorkshireBoy wrote: »

Not quite. There's something else you have to do at TSB to ensure you get the 5% AER rate...opt for paperless statements and correspondence.


You can get a lot of help on here, but it's no substitute for reading the T&Cs of the account.

A wise old bird on another thread suggested that a neat way to do the £500 p.m. standing order transfers was to send £125 each way each Wednesday. Then there would be no risk of muddle caused by weekends or bank holidays, except potentially for Xmas/BD/New Year, which would require you to check your diary just once a year.

YorkshireBoy

kidmugsy wrote: »

A wise old bird on another thread suggested that a neat way to do the £500 p.m. standing order transfers was to send £125 each way each Wednesday. Then there would be no risk of muddle caused by weekends or bank holidays, except potentially for Xmas/BD/New Year, which would require you to check your diary just once a year.

Too much unnecessary messing about! Just set them up for the 1st of the month. But any date up to the 25th of the month will be fine.

The only time you'll have any problems is if they're set for the 26th of the month or later.

Think the OP on that thread was talking of setting them up for the 31st...a recipe for disaster!

kidmugsy

YorkshireBoy wrote: »

Too much unnecessary messing about! Just set them up for the 1st of the month. But any date up to the 25th of the month will be fine.

The only time you'll have any problems is if they're set for the 26th of the month or later.

What messing about? You've missed the point: setting up a weekly SO takes exactly as much time as a monthly SO.

EDIT: sorry if I sound harsh; I had failed to take account of your being from Yorkshire.