Advice Please - Where is the best place to put my money?

Counting_down_the_Pounds

Hello everyone,

I’m hoping for some advice: I have been on the boards/website but I am struggling to make up my mind, there are so many on there now:

I’ve used 2014/15 ISA allowance.

I currently use Newcastle BS ISA that was paying a nice 3%. However since Martin Lewis advertised it they have written to me twice in two months to reduce it. (Gutted) It is now 12k at 2%. Which is shockingly bad!

So I am looking to move it to either Lloyd’s 4% or Santander 3% or split? I know this will be out of the tax free wrapper but it wouldn’t take long to put back in at an allowance of 15K a year and it would earn more in the interim. And anything I earn this year and go back in the ISA slower

I’ve filled Nationwide 5%, and TSB x2 5%, Tesco 3%. And I use the Halifax for joint bills/£5 a month.

I just didn’t want the hassle of moving the DD’s (we both pay in same amount/same account and all joint bills come out) I didn’t want to mix joint bills with my savings. But now I’m at the point where I’m forced to.

I use the Tesco CC to put joint spending on and I split it at the end of the month – but was thinking if I move to Santander I’ll get the CC there to and drop Tesco’s. But I’ve just read that Lloyds offer a 4% regular saver and I’m tempted by that as well.

I know about the First direct at 6% but after 12 months there’s a fee and you lose the 6% and I don’t agree with paying fees for bank accounts hence why I tried to stay away any that have them. (Tesco’s was a ‘just needed somewhere to put the over-spill at the time’ and was the easiest option to open)

I just need somewhere to put my money at a decent rate (don’t we all!) so my first choice looks like Lloyds, that pays more, then Santander once Lloyds is filled?

I haven’t bothered to look at the new ISA’s as none beat the one I currently have (even with the reduction) (Coventry is only 2.25% and is fixed for 2 years and no transfers)…. so looking to add to Newcastle one in 2015/16…

So my main questions:

Are there any ISA/Current Accounts/regualr savers I've overlooked?

Which should I go for? How should I split my money?

Snowbelle

Santander 123 charge a fee. Have you considered BOS? You can 3 sole accounts with £5000 in each - no DD's required.

Jsscmm

The first direct fee can be avoided if you have another product (the regular saver doesn't count) such as an esaver with 1 pound in it.

As for other regular savers... The thread one the investment board lists them all, but m&s and hsbc advance both are at 6% without fees.

Based on the above it looks like a club lloyds and club lloyds regular might be worthwhile. Avoid the fee and get interest via two dd's via tesco savings accounts and move at least 1500 a month through the account.

The other option @ 3% is bos vantage.

Counting_down_the_Pounds

Hi Snowbelle,

No I hadn't seen BOS, (I'm on their website now) Thank you for that tip!

colsten

Counting_down_the_Pounds wrote: »

I know about the First direct at 6% but after 12 months there’s a fee and you lose the 6%

Wrong on both accounts. It is easy to avoid any fees for FD by just having £1 in their everyday e-saver. Your 6% RS account matures after 12 months but you can start a new one immediately again.

M&S and HSBC also do 6% Regular Savings accounts. Essentially same terms as FD but max £250 a month at both, and you must have an HSBC Advance account to qualify.

Counting_down_the_Pounds wrote: »

I don’t agree with paying fees for bank accounts hence why I tried to stay away any that have them.

you need to stay away from the 123s then - both the current account and the credit card cost money. Although that money is easily recouped if you play your cards right.


More information on all those accounts is on the forum

colsten

What's the interest rate on your mortgage? Could you make overpayments without penalties?

Counting_down_the_Pounds

Colsten:
I have a private mortgage through a family member at 0% interest (Contract). The idea is save and then upgrade to a family home. (I know I am in a lucky position) taking just what is left on the private mortgage.

I didn't know about avoiding the FD 6% fee by just having the £1 in the e-saver so i will be looking into that as well.

Thank you!

jimjames

Counting_down_the_Pounds wrote: »

So my main questions:

Are there any ISA/Current Accounts/regualr savers I've overlooked?

Which should I go for? How should I split my money?

Do you need so much cash?

Could you start to put some into S&S ISA or pension?

Counting_down_the_Pounds

probably not, but this money is being saved for a larger house and I'd like it somewhere where I can access it quickly and where it can grow. I'm not quite comfortable giving up the access to a pension.

My pension is taken through my pay so I am paying into one, at this stage I consider being mortgage free more important than the pension.

Stocks and Shares: I have thought about but I am not very educated in how it works. I have toyed with the idea, this is something I intend to improve my knowledge upon and is in progress for when I am comfortable to take the risks that are associated with them.

I've looked at First direct and have opened one of those accounts to get to the 6% saver for now.

I feel that i'm just scratching the surface when it comes to finance.

Sadly no one teaches you this stuff when I was at school... but they did teach me how to write a check!

Purplesky_2

There's an ISA available from Nottingham building society at 3% if you want the added tax benefits and you're in the right area. You may be able to get more from current accounts, depending on your tax situation, but there may be other benefits for an ISA, or simply for having money in a distinct institution (that always helps me)

And everyone feels like they are scratching the surface with financial stuff. That's because each five-ten years, technology moves on and our circumstances change. We have to try to be eternally vigilant.