What's the best account for me?

Scott_1701

I'm struggling with what route to take with my money/savings. I'm saving for a deposit for my first house. I'm a recent graduate.

I have £7000 saved, and it's currently not working for me. I can save around £100-£150 p/m and pay into an account £1400 p/m.
I'm never in my overdraft. I'm thinking the best option is a high interest current account? Can anyone recommend a good account?

fromtheshires

Most accounts have pros and cons to them so only you can decide what account will suit your needs. I have put a link below to the compare best bank accounts page for you to have a look at and see what one best suits your needs. Of course if you have further specific questions once you have an informed opinion from the link, people may be able to help you out some more but pretty much everything you need to know will be in the below. HTH

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

xylophone

I'm saving for a deposit for my first house. I'm a recent graduate.

Do you want to consider a help to buy ISA?

As I understand it, the Halifax offering (4%) http://www.halifax.co.uk/isas/cash-isas/help-to-buy-isa/

permits you to open the account with £1000 and then add £200 a month by standing order.

You might deposit up to £3000 in a Tesco current account and set up the SO's to go out from it

Be sure to read the terms and conditions.

If you are eligible, consider which of the high interest current accounts will permit you to maximise interest earned.

Remember that money can be cycled round accounts.

You might open a TSB plus and a Nationwide Flexdirect - you could then set up a standing order for £1000 from one to the other and back again on the same day.

The Flexdirect also gives you access to the Flex monthly saver.

The TSB comes with a regular saver.

With the Flexdirect, consider your options after the high interest year.

Archi_Bald

The best accounts are all listed in this thread: https://forums.moneysavingexpert.com/discussion/5374614

Mr_Goodkat

A Halifax help to buy ISA should form part of your plans as previously suggested as it will pay 4% tax free - you can start by depositing £100 then fund by £200 a month- The Government will also top up 25% of a maximum £3000 that you build should you meet the terms and conditions e.g. price of house within the threshold.


You could open a number of high interest current accounts e.g. TSB flex Plus, Nationwide Flex Direct etc to chase the best rate - to keep things simple you could open a Club Lloyds account and get 4% on £5k you can then fire the excess you have into the Help to Buy ISA at £200 a month and anything left over into the Club Lloyds regular saver.


You could also consider switching bonuses that are out there at the moment e.g Halifax will pay you £100 for switching plus £5 a month if you meet the conditions. TSB have a switching incentive when going through MSE link of £100, pay 5% on up to £2k, pays 5% cash back on up to £100 of contactless transactions each month and also has a 5% regular saver.


Lots of options just depends on how many accounts you want to operate but the save to buy ISA would be very sensible