50k in a current account - need to move it ! help?

wabbajabba

Hi there, Ive just bought a house and have £50,000 which will be used over the coming 2 years on house improvements. Its currently sitting in a first direct 1st account. I need to find an account that pays interest, and allows me to make regular withdrawals as needed.. Any advice ?

badger09

wabbajabba wrote: »

Hi there, Ive just bought a house and have £50,000 which will be used over the coming 2 years on house improvements. Its currently sitting in a first direct 1st account. I need to find an account that pays interest, and allows me to make regular withdrawals as needed.. Any advice ?

You could start here

http://www.moneysavingexpert.com/banking/compare-best-bank-accounts?_ga=1.124332554.1021296703.1418208741

wabbajabba

Thanks Badger - I've already looked through those pages and they all seem to require a monthly payment into the account... Im looking for somewhere I can simply transfer the money to, make withdrawals, and get interest. The new account will not get overdrawn, will not have any direct debits... Because i don't know when works to the house will start, (or even what will be done yet), i want to avoid being locked in for any period of time..

badger09

wabbajabba wrote: »

Thanks Badger - I've already looked through those pages and they all seem to require a monthly payment into the account... Im looking for somewhere I can simply transfer the money to, make withdrawals, and get interest. The new account will not get overdrawn, will not have any direct debits... Because i don't know when works to the house will start, (or even what will be done yet), i want to avoid being locked in for any period of time..

They do require monthly payments, but that is easy to achieve. The money paid in every month does not have to stay there!

Some require DDs, but not all do.

The fact is that only current accounts are offering decent interest rates (3% - 5%) at the moment. If you're happy to settle for around 1.4%, then somewhere like Tesco Instant Saver might suit.

fuzzgun19

badger09 wrote: »

They do require monthly payments, but that is easy to achieve. The money paid in every month does not have to stay there!

Some require DDs, but not all do.

The fact is that only current accounts are offering decent interest rates (3% - 5%) at the moment. If you're happy to settle for around 1.4%, then somewhere like Tesco Instant Saver might suit.

Which current accounts are offering this do you know please?

bizzylizzyh

We have a similar situation - we have put money into a Santander 123 account, we now pay a couple of bills out of that account, and hubby has a standing order going in each month for the minimum amount which covers the bills
We are getting interest on the original amount & additional payments for the payment of bills.
We did not want to be locked in - while we decided what to do with lump sum.

xylophone

If you need two direct debits these are easy to arrange - open a Tesco Internet Saver and an Instant Access saver and use the DD function on each.

agrinnall

fuzzgun19 wrote: »

Which current accounts are offering this do you know please?

I refer you to my Honourable Friend's answer in post #2.