Saving for a Deposit

AndyJPA

Hello

I am currently saving up for a deposit on a house, and have my wages paid direct into my current account, i then transfer over so much every week into my "Smile" savings account as that has better interest rates.

Just wondering if there are any other options available to me that offer higher interest rates but still gives me quick access to my money should i need it for a deposit.

many thanks in advance

Andy

Ianharrison2000

Hi,

Try the regular savings account from Yorkshire Building Society, you can put in up to £500 a month, and you have at least 2 free withdrawls a year, without it effecting your interest rate.

Correct me if I'm wrong.

Ian

Lavendyr

What is the interest rate on your savings account?

The Yorkshire BS suggestion is a good one as it's at 7% gross (before tax) - if you can spare the money for a year I'd suggest putting it in an ISA if you haven't got one already, as well. NS&I is the best one at the moment at 6.3% (tax-free).

Alternatively you could look at ICICI's savings account or Sainsbury's Internet saver, both of these are at around 6.25% I believe.

MattB_4

I'm doing the same at the moment. Started out by filling up my ISA allowance, and now put the max into my reg saver each month and the rest into an online saver. As i'm aiming to buy at the start of '09 i might put everything from the non-ISA accounts into a 1 year fixed rate bond (if it works out best on the rates at the end of the year. I think the market is predicting 1 more rate rise then 2 possible downward reprices next year so could be good to fix some of it at the peak.

May alternatively see if i can work a FRISA in there somewhere.

Jonbvn

If you are looking at non ISA accounts over a 1+ years then index linked savings certs from NS&I will beat YBS's RS & ICICI accounts, since they are (the certs) tax-free (taking current level of RPI). Nothing to stop you investing into each savings certs issue, up to max of 15k per issue.

Of course if you are not a tax-payer, the above is incorrect.