The Top Easy Access Savings Discussion Area

Inforapennyinforapound

Mr._H wrote: »

Do you board or thread? I don't read the forums that widely, but I'm subscribed to this thread. This thread is intended for discussion of instant access accounts; a bond is not an instant access account so they're not mentioned that often.

Yes i saw that after my post.Where do you suggest i put it and i will move it?

Mr._H_2

Inforapennyinforapound wrote: »

Yes i saw that after my post.Where do you suggest i put it and i will move it?

Well, you picked the right board (savings & investments), but you're probably better off starting your own thread. You can do that by going to the Savings & Investments front page here, and clicking on the "new thread" button (found under where it says "ISAs & Tax-free Savings")

mau408

Post office interest rates look good for a 1 year bond 500GBP. Depending on which branch you go in they give you a fiver over the counter that day - posters are up in the post office. I think its something like a 4.1% interest rate. Anyone from Accrington/Blackburn? I think you can have more than 1 too.

Probably a bit far to come from Devon!

techmax76

Direct Debit is used in paying utility bills. Mostly, an authorization from the payee is needed to automatically debit any amount.

Victoriahl

Hi
I'm posting on behalf of my mother who would like some help with her savings account. She has got £50,000 in a Barclays day to day savings account and on this amount she is earning about £4 a month interest.
I was wondering if anyone knew a better account she could put it in where she could earn more interest on it? She doesn't need day to day access to it, but she would like to know it's available if she ever does (she hasn't touched it for the last 12 months, but she doesn't want it tied up for the forseeable future where she can't get hold of it should she need to). Therefore bank cards and cheque books are not really a necessity.
Also, she isn't paying any into it at the moment, so a monthly amount would not be going in- I'm not sure if this makes a difference to some accounts?
We would be most grateful for any advice, as we've been looking at some options on this website, but we're still a bit confused!

Thanks in advance
Victoria

Steve_xx

Victoriahl wrote: »

Hi
I'm posting on behalf of my mother who would like some help with her savings account. She has got £50,000 in a Barclays day to day savings account and on this amount she is earning about £4 a month interest.
I was wondering if anyone knew a better account she could put it in where she could earn more interest on it? She doesn't need day to day access to it, but she would like to know it's available if she ever does (she hasn't touched it for the last 12 months, but she doesn't want it tied up for the forseeable future where she can't get hold of it should she need to). Therefore bank cards and cheque books are not really a necessity.
Also, she isn't paying any into it at the moment, so a monthly amount would not be going in- I'm not sure if this makes a difference to some accounts?
We would be most grateful for any advice, as we've been looking at some options on this website, but we're still a bit confused!

Thanks in advance
Victoria

Alliance & Leicester Online Saver 5 pays 3.15% for 1 year and it's an easy access account. Therefore she would earn £31.50 per each £1000 she deposited for 1 year. That would earn her around £1575.00 per annum before tax of 20% wa taken off, leaving her with £1260.00

If she was prepared to go for a five year bond with Newcastle Building Society, then she could earn 5% per year guaranteed for 5 years. Though not an easy access account, it is possible to get your money out giving 90 days notice and without losing any interest. This would earn her £2500 year 1, less tax at 20%, which would leave her with £2000.00 net interest at the end of year 1.

Victoriahl

Steve_xx wrote: »

Alliance & Leicester Online Saver 5 pays 3.15% for 1 year and it's an easy access account. Therefore she would earn £31.50 per each £1000 she deposited for 1 year. That would earn her around £1575.00 per annum before tax of 20% wa taken off, leaving her with £1260.00

If she was prepared to go for a five year bond with Newcastle Building Society, then she could earn 5% per year guaranteed for 5 years. Though not an easy access account, it is possible to get your money out giving 90 days notice and without losing any interest. This would earn her £2500 year 1, less tax at 20%, which would leave her with £2000.00 net interest at the end of year 1.

Thanks for that Steve- we'll definitely go and check those options out- it's a lot better than the £48 a year interest she's getting at the moment!

JimmyTheWig

Steve_xx wrote: »

If she was prepared to go for a five year bond with Newcastle Building Society, then she could earn 5% per year guaranteed for 5 years. Though not an easy access account, it is possible to get your money out giving 90 days notice and without losing any interest. This would earn her £2500 year 1, less tax at 20%, which would leave her with £2000.00 net interest at the end of year 1.

Hey, I like the sound of this.
As long as you were organised this could give you 5% for a fixed term of any length. I.e. open account. 9 months later give 90 days notice and you've got 5% for a 1 year fix.
Or am I missing anything? Do you have to keep the minimum £5k in there for the 5 years and can only withdraw the excess with no penalty?

Steve_xx

JimmyTheWig wrote: »

Hey, I like the sound of this.
As long as you were organised this could give you 5% for a fixed term of any length. I.e. open account. 9 months later give 90 days notice and you've got 5% for a 1 year fix.
Or am I missing anything? Do you have to keep the minimum £5k in there for the 5 years and can only withdraw the excess with no penalty?

No, you're not missing anything. You can withdraw the lot on 90 days notice.

Note that Newcastle Building Society have a 5 year fixed rate ISA, also fixed at 5% and similar conditions apply. Therefore it makes good sense to transfer your ISA to them and that way your earnings are tax-free.

JimmyTheWig

Ahh, transfer your ISA. I wondered how they managed to have an ISA with a minimum of £5k!

Now, my next question is how long do you think this account is going to be around for? We're getting 6.3% elsewhere for the next 4 weeks so would be annoying to transfer there now, but equally annoying to wait and miss this rate.