What to do after maxed out savings account?

eskbanker

guitarman001 wrote: »

Don't think I'd like to put £50k+ into P2P.
I don't believe in Help to Buy ISA and might not even buy - that's problem - unsure what to do right now so need short term safe accounts.

I already have ~£8k in Vanguard 100%.
Maybe I should put £20k in Vanguard 20% - lower risk!?

If it's short term and safe you're looking for then forget about investments, pensions, etc, that are likely (but not guaranteed) to give decent returns over the long term. With those criteria (and I'm not knocking them in any way), you are best just filling up the interest-paying current accounts and putting the rest into traditional savings accounts (see http://www.moneysavingexpert.com/savings/which-saving-account) or even a flutter on some premium bonds....

Also worth bearing in mind that if you're a couple and able/willing to pool finances with joint accounts, that increases your access to interest-paying current accounts significantly, e.g. £40K in two more Santander 123s for a start.

steelbru

The suggestion to consider P2P was what to do once you had maxed out the instant access savings accounts, which you can get up to £50k invested in ( for a single person ). Are you saying you have an additional £50k to that ?

I notice you mentioned girlfriends money - have you got eg 3 Santander 123 accounts with £20k in each ( 1 each and a joint ) between you ?

Same with most providers, can take you well on the way to £100k for a couple.

mvarrier

Ratesetter is a good option but for the better rates you need the 3-5 year loans and you might struggle to liquify cheaply at short notice.

Take a look at savingstream.co.uk. They mainly offer property bridging loans. You get 1% per month return on your investments which are secured against property. Note, they have just had their first defaulted loan--so you may wish to see how this pans out before committing.

For more info on P2P and P2B in general have a read around http://p2pindependentforum.com

Eco_Miser

guitarman001 wrote: »

who doesn't go into the stockmarket is basically just as well keeping their cash under their bed.

I think a savings account at 0.5% or Premium Bonds would be saver than keeping large sums under your bed.

guitarman001

How many Santander accounts can you have?
If I'm able to open another 2 I might do that and just create some direct debits to charities.

Eco_Miser

On single, one joint - that makes three between a couple.

M0ney

guitarman001 wrote: »

Good list there.
I'll use some of those.
Unfortunately when you start to have >50-60k in savings the options are really dire.

Sounds like a nice problem to have!

jimjames

Olivier811 wrote: »

I am in a very similar position to the OP and am thinking of putting the excess into P2P - specifically Ratesetter. Any thoughts?

Do you need the money short term? If not have you looked at S&S ISA instead?

chucknorris

Olivier811 wrote: »

I am in a very similar position to the OP and am thinking of putting the excess into P2P - specifically Ratesetter. Any thoughts?

What return are you expecting?

molerat

Can you open multiple BOS accounts at the same time or do you need to leave space between opening ? We have just opened a second one each today but need some more as we have £26.5K of maturing ISAs in the next month to find a home for.