New to saving

lammy2203

Having been in debt for such a long time i have luckily come into a nice amount of money which has allowed me to pay off my debts with a nice sum left over.
Now this has caused me a problem because i have never been in this situation.
Can anybody give me advice on what to do with this money. Because i have never had money i dont want to lose it so i am looking at low risk options:j

Lokolo

Ok for starters - how much are we talking about?

Cash ISAs are obviously the best place to start as they are tax free (I am assuming you have a job where you pay income tax). But these are limited to £3000 this year (£3600 from April '08).

After that a regular savings account if you want the money to be safe, but these are generally low risk, low return, (depending on who you go with you can usually get 5-6%, but you will pay tax on the interest earnt - 20% i think).

If you want to know more about ISAs etc. there is a page somewhere (someone else will post it, i would edit etc. but bit of a rush atm!)

good luck well done for getting out of debt

http://www.moneysavingexpert.com/savings/best-cash-isa

lammy2203

Thanks for that, after paying off all my debt and getting a few things i hope to be left between £30k and £35K