House sale proceeds

jolizzie

I've now sold my house and have £400K to invest short term until I find another home. Hope to do this within 6 months.
Any adice please

Eco_Miser

NS&I - just like all the other threads asking similar questions.

JohnRo

http://www.fscs.org.uk/what-we-cover/questions-and-answers/qas-about-temporary-high-balances/

Wonderhamster

What does

NS&I - just like all the other threads asking similar questions

mean, please?

robber2

there you go wonderhamster

https://www.google.co.uk/search?q=ns%26i&ie=utf-8&oe=utf-8&gws_rd=cr&ei=9OhDVqqgMISvUZSKmYAH

neilsolaris

You should max out all the high interest current accounts (including joint accounts if applicable) before using NS&I. For instance Santander 123, Lloyds, TSB, Tesco * 2, Halifax/Bank of Scotland * 3, Nationwide.

As I learnt the other day, because I'm in the same situation as you, your money from house proceeds is protected by the government for up to 6 months (so you're not restricted to £75,000).

colsten

neilsolaris wrote: »

You should max out all the high interest current accounts (including joint accounts if applicable) before using NS&I.

You shouldn't do that, really, if you might require a mortgage within the next 6 months. Too many searches in a short period of time might not look good on your credit file.

neilsolaris

colsten wrote: »

You shouldn't do that, really, if you might require a mortgage within the next 6 months. Too many searches in a short period of time might not look good on your credit file.

That's good to know. How long after the searches would your credit rating return to "normal"?

colsten

Searches drop off most credit files after a year, although it seems to be 2 years for Noddle.

There is a school of thought that lenders are weighting searches by age, and that anything older than 6 months only has a very low, or even zero, weighting. I haven't seen anything official from any lender, and in any case, I would expect them to modify their credit scoring from time to time, and that there is no one-size-fits-all.

Eco_Miser

neilsolaris wrote: »

You should max out all the high interest current accounts (including joint accounts if applicable) before using NS&I. For instance Santander 123, Lloyds, TSB, Tesco * 2, Halifax/Bank of Scotland * 3, Nationwide.

Well I'd get the £400k earning interest in NS&I first, then open the high interest accounts to get higher interest on around £50k, if I hadn't already got them, and I thought the extra hassle was worth it for about £700.