Short Term, high input savings account

Murvalous

Hi everyone, long time reader first time poster and all that.

I have some money coming from a mortgage which I will be investing in a house at some point but I want to put it into a savings acount for 2-3 months to earn some interest but I also want to be able to get at it when I need it without losing any of the interest because its only been in there a short time.

Any suggestions?

caliston

Have a look at the Top Savings Accounts article.

Make sure you steer clear of any account that doesn't pay interest in the month you make a withdrawal.

Also it's worth calculating how much interest you make per day - if it's a lot it might be worth choosing a savings account that has CHAPS transfers. That way you can transfer money same day for the cost of £20-30 per transfer rather than leaving it in the clearing system for 3 days. For example. interest on £300K at 6.4% is £52/day. So you'd lose £156 by putting it through the normal clearing system compared to (say) £25 for CHAPS (and possibly the loss of one day's interest, total £77).

Based on feedback here I'd say avoid ICICI since it seems they can be very slow about making withdrawals.

Murvalous

Sorry i should of said, its not my full mortgage just some money Ill be investing in property abroad, actually only about £50k