£12000 very short term investment

TheTracker

Feb 2015:

Ryan_Futuristics wrote: »

2.9% before tax at RateSetter with their 1 month term

Nov 2014:

Ryan_Futuristics wrote: »

P2P lending to private individuals, at 4% returns, with potential tax issues on bad debts just doesn't appeal to me as an investment

I expect that, as Ryan F has declared himself unemployed previously (he is trying to make 12% above inflation with stock selection in order to fund a film career, an unsurprising career move for a fantasist), he may not feel he'd be eligible to open an account. References available if you think I'm making any of that up.

adindas

Who will defend ratesetler for such low interest & risky undertaking ??

The people who have personal interest ....

Please also expose the risk in investing in ratesetter so the peole have an inform decision.

- 3% with the risk that you might lost all of your money
- 3% with no risk at all.

It is a very simple decision to make ....
But the choice is yours. It is your hard earning cash ...

For such a gambling I will need at least 10% interest before I will ever consider it ....

jimjames

redux wrote: »

I don't understand why this loan has been taken out a few months early.

Is it possible to have a chat with the lender, pay it back, with an agreement for the same loan again later?

Many suppliers need paying in advance so wedding might be later in year but bills start from now and maybe there wasn't a facility to drawdown in chunks.

colsten

Ryan_Futuristics wrote: »

Use the search if you want

that is one way of admitting that your previous statement was pure male cow pad. Or that you have a reading disability if you "read more posts here about people chasing up missing money from their current accounts than anything else tbh

Ryan_Futuristics wrote: »

You can set your RateSetter rate to 3% if you want - no one's ever lost money with them

Santander 123:
- A £2 account fee will be taken from your account each month
- Pay in at least £500 each month - transfers between Santander personal accounts won't count towards this
- Have at least 2 Direct Debits going out of the account

Yeah ... that sounds much better ...

You are right, the Santander 123 probably isn't the best option for the OP (although it is possible to make more than 3% AER from a 123 account). People can get "proper" 3%, and more importantly, 4 and 5% AER , on up to £30,000, and more than double that if a couple, before they even have to touch the 123. Sorry if this is too difficult to understand for you.

Gadfium

The simple advice would be to completely ignore Ryan F. Ratesetter is his "flavour of the month". Next month (Week? Day?) it will be something else.
Only a week or so ago, he was all cash with 10% in Ratesetter. Now he's pimping it like nothing else.:doh:

harvey1964

jimjames wrote: »

Many suppliers need paying in advance so wedding might be later in year but bills start from now and maybe there wasn't a facility to drawdown in chunks.

Exactly, we are collecting dresses etc and paying out amounts at the minute , few thousand to the hotel already so just want the money on tap to pay . Thanks .
A lot of complicated ideas where to put the £12000 for a few months
Thanks

gkerr4

i have to agree slightly with ryan thought - this board is a little obsessed with current accounts.

I understand that this is a "moneysaving" forum, but for most people earning a half-decent income, the messing about that accompanies it isn't worth the opportunity cost.

to the OP - there isn't really a huge amount of options for a short term holder for your loan fund. I assume you have taken the loan now in fear of a rate rise having an impact on the lending rate in the near future? maybe a good call - hard to tell.

In a similar position in 1999 i put all our house deposit monies on the iii.co.uk IPO - it was massively oversubscribed so i didn't get al i applied for, but i banked a good return on what we did get allocated, which was nice.

If you have a similar risk-tolerance, there is a number of IPO' coming up, but even i would struggle to recommend that these days! and especially with borrowed money.

Looks like its current accounts for you...

Ryan_Futuristics

Honestly, the 'group think' here is like something out of a Monty Python film

You can simply put your £12k in one type of account and get 3% interest, or you can go through a lot of nonsense trying to exploit current account special offers (each of which, when I've looked into them, has had conditions or fees) and which I think you have to question ethically to some extent

It sounds a stone's throw from some kind of coupon scheme ... Banks are trying to tempt new customers with artificial rates on small parts of their savings ... They don't set all these conditions up so you'll open a dozen different current accounts and siphon money between them - and frequently they'll try and clamp down on it

I also think you'll learn at some point it's good to have banks on your side sometimes

It's less of an issue if you're investing longer-term, because RateSetter with give you 6.9% quite happily ... The reason I'm recommending it now is because people here convinced me FundingCircle was too difficult ... RateSetter has a large fund to cover bad debts, so you shouldn't ever be taxed on money you don't receive

redux

Ryan_Futuristics wrote: »

It's less of an issue if you're investing longer-term, because RateSetter with give you 6.9% quite happily ... The reason I'm recommending it now is because ...

Wrong thread.

Please read thread title and some of the discussion - this is for a few months at most.

Ratesetter's website says its monthly rate is 2.7%

Ryan_Futuristics

redux wrote: »

Wrong thread.

Please read thread title and some of the discussion - this is for a few months at most.

Ratesetter's website says its monthly rate is 2.7%

You could read the terms on their site

It quotes the most recent lender offer accepted - so it fluctuates throughout the day ... Offer 3% and you might wait an extra half day to get your money lent out