Changing current account, is it worth it?

harpix42

Hello,

I'm looking for some advice on what's best to do with my money.

I have 5K in an old 1.5% ISA that I haven't added to this tax year.
I have 8/9K in a my old current account with no interest really
I can put away about £500 a month with my regular salary
I put money into an NHS pension
I have about 28,000 in student loan
I'm renting at the moment

A few quick questions for anyone if that's ok...

1) If I go through the minor hassle of changing current account (e.g. 3% santander one or the 4% club Lloyds one), how much money would I approx save in a year. I would like to know if it is worth it. Approx £300/£400 a year sound about right?
2) Should I wait for the help to buy ISA accounts to make the most of my money? Broadly speaking will their be any rules and stipulations for these accounts that makes them less attractive?

Thanks,
harpix42

PeacefulWaters

3% interest on £9k in Santander would earn £216 a year net. You'd also earn cashback on some direct debits but pay £24 a year in fees.

If you added the £5k in the ISA to the 123 balance you'd lose the tax free status but still earn around £45 a year extra in your pocket.

Your extra £500 a month will c£72 net interest in the 123 account over 12 months.

So I make you £309 up plus the cashback on the direct debits.

I'd wait until a Help To Buy comes out before funding an ISA.

colsten

For your monthly £500, look at Regular Savings accounts