Am I making the most of my money?

kitlovesmolly

Hello,

I am not the richest or cleverest money making person in the world but I do have a wee bit saved up. I am after some advice on whether I am doing the right thing with my money. The situation is this I have various small savings accounts and the aim of the money is to create a bigger deposit for when we move house. This won't be for at least two years as I am about to go to uni so no income equals staying put. So my money can be tied up more easily.

Would I be better putting my bits and pieces together and having a bigger amount in one place or should a stay as I am?

Here's what I have:

£2700 ISA with Furness BS
£2300 ISA with YBS
£2000 ISA with Britannia
£600 ISA stocks and shares ISA with Invesco perpetual

Regular payment being made into LV ISA (stocks and shares) of £100 a month- had this for a year and payment will be reduced to £30 when I become a student. This is something I view as a longer term investment.

Also I have a savings account linked to my bank account that I can transfer money from quickly when needed in emergencies of £1500.

This question came to my mind when I had my mortgage review with the bank today and the number of accounts I have made the man smile and mention money laundering!

Thank you,

Molly

CLAPTON

what are the interest rates on the ISA and whats the interest rate on the bank linked a/c and are there any special conditions?

Darth_Calculus

It is unlikely that each of the three cash ISA accounts are paying the same interest, and so your money would be at least better off in the best of the three you have.

Indeed, it could well be that there is another account with better interest than any of the three you have, but you'll need to provide the interest rates that you are getting, as Clapton states.

Are the ISAs instant access? Do you need them to be, if you need money in the future, whilst you are a student?

Really, the more info you provide, the better the advice will be (hopefully!)

Stephen_Leak

I've been thinking about "optimising" my ISA as well, and the YBS should have the highest interest rate of the ones you list and does accept transfers.

However, if any of the others make a penalty charge for transfers/closure, leave the money in them.

kitlovesmolly

Thanks for the replies so far. Sorry about lack of info- I put message up last night whilst at work so didn't have all relevant info!

Interest rates are:
YBS- 5.8% (30 days notice)
Brit- 5.35%
Furness-5.55%

The bank account linked one is 5.0% and can be withdrawn with card or immediaetly tranferred into my main account.

I am working through uni and have a bursary. I hope to just use the £1500 in the savings account for emergencies. So I could put money aside. I think I will move the Britannia account to YBS (thanks Stephen). I know these are very small amounts and I am not that aware of what would be best but I need to learn!

Aegis

Is 5.8% really the best that you can transfer into at the moment? I'd have thought you'd be able to get at least 6.1 or 6.2% with the current base rate of 5.75%. I haven't checked the ISA scene lately, but I'd be surprised if that was the best rate available!

CLAPTON

YBS have an internet ISA paying 6.1%... I would suggest to transfer your ISA to that.

Make sure you transfer the ISA using the correct methods..dont just withdraw the money and pay it in as you will then loose the tax free status.