Where to put £18k?

[Deleted User]

Hi all,

Thanks in advance.

As the title states I have savings of £18k and my Nat West savings account is pitiful. I don't want to change bank accounts as I've been with my bank for 35 years.

I've looked around but if anyone could explain in Layman terms what the best option is please? I could lock it away for a year if necessary.

I earn 30k a year and am mortgage free.

Cheers

kidmugsy

You could open one or more high interest current accounts. Perhaps the least-hassle solution is to open a Santander 123 account, and transfer to it your direct debits for council tax, water, gas, elec, phone/broadband. Then when you want the money for some purpose, just withdraw it, and perhaps switch the account to some other bank that pays decent interest on some smaller amount e.g. Nationwide or TSB. There's no problem in having two current accounts, one at NatWest, one at Santander. In fact, it would protect you from those irksome computer failures that happen from time to time.