What's the easiest way to drip save £400 a month and get over 3% after tax?

Savingdad

So I want to see if its simple enough to save my mortgage over payments for a better return.
For that I need somewhere to stash £400 a month and getva net return of over 3%, I don't mind using 2 accounts or opening g up accounts just for this but I would like to see if I can get it worm ng harder for me.
I already have tsb, nationwide and tesco high interest current accounts so other options s welcomed.

bsms1147

Lloyds at 4%

Regular Savers at 4 and 6%.

masonic

There's the First Direct / HSBC / M&S 6% regular savers and Club Lloyds current account paying 4%. With the regular savers, you could save over 12 months and use the proceeds to overpay your mortgage if you fill all the high interest current accounts.

enjoyyourshoes

Lloyds club 4% (3.33% NET) 2 dd, £1500 IN PM
They do Regular saver (4% gross) £400 max per month


I would look at reg savers (HSBC if your Advantage customer) 6% gross £250pm
also
First Direct reg saver £300 pm 6% gross


Can you overpay w/o penalty mortgage then don't need to worry about net/gross comparison?


Kids a/c Halifax reg saver 6% max £100pm

inspireme247

http://www.moneysavingexpert.com/banking/compare-best-bank-accounts#interest

Archi_Bald

The best link for monthly savings is the regular savings accounts thread: https://forums.moneysavingexpert.com/discussion/comment/6932895#Comment_6932895

With £400 a month, I wouldn't settle for anything less than the 6% RS accounts.

Particularly not if I considered a couple of related offers:

1. switch to FD for £100
2. switch to HSBC Advance for £120 (from next Monday), and their £120 "Save Together" ISA offer

So not only do these two accounts give access to £300 + £250 regular savings @ 6%, you can also easily make £340 on top of the RS interest.

Savingdad

Thanks for all the replys, I can overpay without penalty on my mortgage but my rate is 2.5% so if I can earn more than that in interest I would do better saving my £400 overpayments and getting the interest, once the rates increase I can use the savings to lump sum off the mortgage.
Deffinatly look at the 6% savers but I currently don't have any spare accounts to switch.
I guess its time to set up a few donor accounts to sacrifice for the switching bonus.

guitarman001

How about feeding in £1500+ per month assuming you've already filled up Santander 123, 3x TSB & Halifax accounts etc? I've money sitting doing ZERO.

mvarrier

What's your LTV on the mortgage? The small extra percentage you could earn above the mortgage interest on your additional savings is likely to be fairly negligible. However, if you can get the LTV across a threshold say .7 to .6 before you next remortgage you may get a better rate on the bigger pool of money.

Eco_Miser

guitarman001 wrote: »

How about feeding in £1500+ per month assuming you've already filled up Santander 123, 3x TSB & Halifax accounts etc? I've money sitting doing ZERO.

Study https://forums.moneysavingexpert.com/discussion/608697
You can save £1700 a month at 4% or more.

guitarman001

Wow, thank you for that!