40k in the wrong savings account? Advice needed please.

jem16

passion8 wrote: »

Could someone do me a big favour please?

I was playing about on Martin's new calculator, and had to check the interest rate on the Saver Reward.

Have I got this wrong, or is Halifax only paying 2.91% gross on £25,000 + with no withdrawals?

No you haven't got the rubbish interest rate wrong. You are allowed to make up to 3 withdrawals each year for this wonderful rate.

So 2.91% = 2.32% after tax ( 1.75% when you are a higher rate taxpayer )

If you have Halifax accounts you would do well to open a Sainsbury's Internet Saver as transfers from halifax to Sainsbury's are instantaneous so no loss of interest.

passion8

jem16 wrote: »

No you haven't got the rubbish interest rate wrong. You are allowed to make up to 3 withdrawals each year for this wonderful rate.

So 2.91% = 2.32% after tax ( 1.75% when you are a higher rate taxpayer )

If you have Halifax accounts you would do well to open a Sainsbury's Internet Saver as transfers from halifax to Sainsbury's are instantaneous so no loss of interest.

Thanks very much jem16
To say I'm shocked would be underestimating my feelings :eek:

I'm just having a look at Saga, but I'll make a detour to Sainsbury's

Thanks again!

jem16

Whilst you are deciding and once you get your password ( assuming it is Halifax?) at least open a halifax web saver. It's not the best interest rate at 5.5% but it's a lot better than where you are.

passion8

jem16 wrote: »

Whilst you are deciding and once you get your password ( assuming it is Halifax?) at least open a halifax web saver. It's not the best interest rate at 5.5% but it's a lot better than where you are.

Will do, thanks again jem16

It is the Halifax password I'm waiting for btw. I'll soon be buying S&S's - and after this fiasco I wouldn't be averse to high-risk!

jem16

passion8 wrote: »

Will do, thanks again jem16

It is the Halifax password I'm waiting for btw. I'll soon be buying S&S's - and after this fiasco I wouldn't be averse to high-risk!

Just don't buy them from the Halifax.

passion8

jem16 wrote: »

Just don't buy them from the Halifax.

:rotfl: No chance

debbie42

Halifax are fine for individual S&S, it's funds that maybe jem16 was referring to?

ManAtHome

As you have a company, look at company pension contributions (especially as you may be an "old git" like me - lol). Even a very low risk/cash SIPP could save you tax, employers and employees NI (up to 65%... gulp!)

jem16

debbie42 wrote: »

Halifax are fine for individual S&S, it's funds that maybe jem16 was referring to?

You're correct. I assumed that passion8 meant that a S&S ISA was next on the list and it was funds rather than shares that were going into it.

May be completely wrong though.

passion8

debbie42 wrote: »

Halifax are fine for individual S&S, it's funds that maybe jem16 was referring to?

I'm not sure debbie42, but for now I'm happy enough to be opening the online accounts to just save.....

Incidentally jem16 - from this month I'll be able to bank £1,000 for at least 12-24 months, so does that make a difference to interest rates, or should I leave that one for an IFA to sort IYO?