£10,000 saved up, what to do with it?

LouK1964

Hi everybody,

I have £10,000 saved up at the moment. I don’t really know what to do with it. I have thought about maybe investing it in stocks and shares but I don’t know anything about that really. At the moment I just have it in my Lloyds current account which I am not getting any interest on so best thing to do is to move it somewhere, but just not sure what would be the best place. I was going to put it into Santander 123 but they have cut the interest to 1.5% and I am put off by the £5 monthly fee. Any help on this would be great, thank you.

LouK

YorkshireBoy

LouK1964 wrote: »

Hi everybody,

I have £10,000 saved up at the moment. I don’t really know what to do with it. I have thought about maybe investing it in stocks and shares but I don’t know anything about that really. At the moment I just have it in my Lloyds current account which I am not getting any interest on so best thing to do is to move it somewhere, but just not sure what would be the best place. I was going to put it into Santander 123 but they have cut the interest to 1.5% and I am put off by the £5 monthly fee. Any help on this would be great, thank you.

LouK

My Lloyds current account pays 4% AER on £4-5K*. Why doesn't yours?

* 2% AER from early next year.

Mogley

I would first upgrade your main current account to a club Lloyds account. Look at the benefits online. It looks easy to upgrade.

Secondly I would open another high interest current account like a Nationwide Flexdirect account. This pays 5% fixed for 1 year on £2500. Set up a standing order from the Nationwide account to your club lloyds account for £1000* and also set up a standing order from your Lloyds account back to the nationwide account for £1000 on the same day to satisfy the terms of the account. This would be a nice simple way to start getting your savings to work for you. You can look for other current accounts and regular savings accounts to deposit the remainder of your savings at a later date.

*club Lloyds requires £1500/month deposited but I assume that your wages will form part of the deposit for that account.

LouK1964

YorkshireBoy wrote: »

My Lloyds current account pays 4% AER on £4-5K*. Why doesn't yours?

* 2% AER from early next year.

My Lloyds account is just the basic account.

d70cw6

all on black.

SA96

Two BOS Vantage accounts with £5k in.

Set up a Paypal DD
Set up a Tesco internet saver DD
Transfer in £1000 (recycle money)

3% on £10k.

Eco_Miser

LouK1964 wrote: »

My Lloyds account is just the basic account.

Time for an upgrade then.

If £10,000 is all the money you have, then it's probably too soon to be investing (investing carries a risk of loss).

You should have an emergency fund in cash equal to at least 3 months expenses, plus provision for all foreseen spending (Christmas, holidays, new car, new house, new fridge, etc.) Provision means you're saving enough to cover the expense by the time you need it.

There are various current accounts and regular savers that pay rates between 2% and 5% with no risk of capital loss. use them for the above mentioned emergency fund and savings.

Meanwhile read about investing on Monevator and other sources.

TheShape

Follow post #2 to start.

When you setup a Nationwide account also open a Flexclusive Regular Saver into which you can save £500 p/m at 5% (var).

Setup 2 Tesco Current Accounts as they have no funding or DD requirements and pay 3%. You'll need somewhere to move money to from Lloyds when the rate drops to 2% in the New Year.

You might want to keep the Club Lloyds and keep funding it if you like the benefits such as cinema tickets.

darkidoe

Get Club Lloyds!! Free Cinema tickets are aweseome.

I agree with the above. Optimize savings interest rate in several current account paying interest to start off with.

Why are you thinking about S&S?? What is your plan for the 10 000? Is it for house deposit, future retirement, car, child's education?

sparkychris

All on red

Adamjeffs

Also depends if you Have a partner you trust?

I have a bit more saved up in cash but I currently have the following

4K in a santander 123 account ( may switch this to tescos now but will be building back up after an expensive few months)

4000 in two tsb accounts (one joint). Also have 2500 in a monthly saver I'm paying 250 a month into

7500 in 3 natiowide accounts ( one joint another in my girlfriends name)

Standing orders to all and just log in once a month to sweep the interest back into the santander account

Took a little bit of effort to set up but worth it to max the interest