Best place to put house equity for 6 months

gordib259

Hi Folks,

We are just about to sell our home and move into rented (for approx. 6 months) before we relocate to another part of the country and buy a house there. In the meantime, where is the best place to put the equity (approx 125k) we will have before our next house purchase? Not wanting to place it anywhere risky etc....

Thanks.

eskbanker

http://www.nsandi.com/income-bonds is the usual recommendation for this sort of requirement as it avoids having to open multiple accounts for interest and/or protection reasons....

Linton

NSandI Premium Bonds are arguably better than Income Bonds, though with a much lower maximum holding value. They provide more interest on average (if you ignore the time taken before they can be entered in the draw) and are tax free. The monthly excitement of the very small chance of a major win may provide more pleasure for the 6 months than that gained from the rather small guaranteed interest return of other options.

The NSandI products are 100% guaranteed by the government.

principlecounts

Is there a maximum amount you can place in a NSandI?

badger09

principlecounts wrote: »

Is there a maximum amount you can place in a NSandI?

There is a limit of £50k on PBs

All details can be found here

http://www.nsandi.com/why-save-with-us

KTF

principlecounts wrote: »

Is there a maximum amount you can place in a NSandI?

From the NS&I link posted above:

"Invest from £500 up to £1 million per person in total, across all your Income Bonds accounts."

principlecounts

badger09 wrote: »

There is a limit of £50k on PBs

All details can be found here

http://www.nsandi.com/why-save-with-us

Simple question, can you lose capital in an Income Bond? I'm asking because the Interest is variable, but the Income Bond Product is set at 1.00% gross/AER.

YorkshireBoy

principlecounts wrote: »

Simple question, can you lose capital in an Income Bond?

Simple answer, no.

principlecounts

YorkshireBoy wrote: »

Simple answer, no.

:beer: adding ten