4 payments left...then what

DenisCooper

Hi,

I'm almost there - 4 more £250 weekly payments and i've paid off my last bit of debt wohooo.

So since i can live with missing the £250 each week i worked out that over the course of 2016 i can save just under £13,000....whats the best account / savings plan for me to do this in....

Thanks
Denis

imjayw

Regular savers are going to be your best shout.

First Direct - 6% - £300 p/m
M&S - 6% - £250 p/m
TSB - 5% - £250 p/m

If you interested and eligble, you can open a Halifax help to buy which gets 4% interest and 25% bonus of £200 per month deposits.

So that covers your £1000 saving per month. Replace the halifax with something else, maybe HSBC regular saver 6% £250 p/m

colsten

How will you be funding your life when you stop working?

What are you pension arrangements? Can they be improved, and how, if you paid more into them now?

DenisCooper

I've got some property, stocks and shares and a sipp - i could certainly add more to my SIPP though

Maximum_Saving

Hello. I am delighted you have managed to pay off your debt at £250 a week. You can celebate being debt free in a few more weeks. I totally agree that you should save the money that you have put into paying off your debt.

You can feel happy that you are saving money instead of being in debt. I am trying to save money in order to pay off my mortgage in September 2017. I paid off all of my credit card debt in December 2014.

chris_m

DenisCooper wrote: »

Hi,

I'm almost there - 4 more £250 weekly payments and i've paid off my last bit of debt wohooo.

So since i can live with missing the £250 each week i worked out that over the course of 2016 i can save just under £13,000....whats the best account / savings plan for me to do this in....

Whatever you do I can strongly recommend setting up a standing order to shift the money to its destination on or immediately after payday - that way it disappears from your main account before you get a chance to think "Hmm, could I do something else with this?" and slip into a routine of accidentally or deliberately forgetting to move it yourself and spending it instead.

Eco_Miser

As said, Regular Savers are best for saving your excess income, but you also should have an accessible emergency fund - to save you going back in debt should unexpected costs occur. This would be best in a high-interest current account such as TSB.
A summary of all the accounts is at https://forums.moneysavingexpert.com/discussion/5374614

enthusiasticsaver

High interest current accounts, regular savers and maybe pension?

bobobski

chris_m wrote: »

Whatever you do I can strongly recommend setting up a standing order to shift the money to its destination on or immediately after payday - that way it disappears from your main account before you get a chance to think "Hmm, could I do something else with this?" and slip into a routine of accidentally or deliberately forgetting to move it yourself and spending it instead.

I completely agree. Treat your regular savings as a bill and not something to do if you decide not to spend the money elsewhere. Regular savings accounts are good because they do this for you by their nature, but even if using other savings (or current) accounts, set up a SO on payday and get the money out of your account before you see it!