Temporary investment of £20k

Little_Bunny

Hi everyone,

I just got a really quick question please! Basically my mum is helping me with a deposit on my first time purchase and has just given me a cheque for £20k. I am going to cash it into my Natwest e-isa but I doubt it has a very high rate of interest at all although to be fair I don't know what it is.

My question is please can someone please advise me as to how to best invest it, but basically when I need it for my deposit I can get it out penalty free immediately. This is really important as I am looking at flats now (unfortunately I was gazumped on a previous offer so back to sqaure 1 :mad:!). But now I have an extra £20k so would be good to earn as much interest with it as i can before I do get accepted and go through to completion. Also i would prefer not to actually change bank accounts i.e. i could do the santander 123 but i have to put money in every month, pay £2 a month, set up DDs etc and its just too much considering I might need to take this money out in 3 months time say.

Many thanks!

LB

Vortigern

You can't pay 20,000 into an ISA. The limit is £15,000 if you pay it in by 5th April. you could pay in the rest on/after 6th April.

If you don't want to play the current accounts game you're limited to instant access savers and ISAs. Choose the best rate from the links above.

jimjames

If you're spending the money in a few months then an ISA is pointless.

BTW if it's cash accounts you're looking at then that's saving not investing. Investing is not short term but at least 5 years plus.

xylophone

Maybe 2 Tesco current accounts with £2500 each - fund internally from one to other by faster payment

and

3 BOS current accounts funded internally by faster payment.

Move the interest out to Tesco.