Saving

Iandunsmore

At the moment I have

Neil_Jones

First of all your Santander account does not earn 1.5%, it actually earns that pre monthly charge. Take off your fee and its actually closer to 1.2% per account.

You can beat it by an easy access savings account paying a "clean" 1.5%. Post Office or Cynergy (previously Bank of Cyprus) offer these. The only thing really going for the 123 account now is the cashback.

So you could just get rid of one 123 account, convert the other to a Lite (£1 a month, but no interest) and keep enough in it to pay your bills (top it up say 1st of the month) and tip the other £40k into easy access, there's £600 a year interest compared to the c. £480 you'd get with the current arrangement (as Santander are charging you £10 a month for both accounts).

polymaff

Once you've read the Savings articles on MSE, the following notes may be applicable to your circumstances.

Assuming that you are looking to increase the income on your savings, first, understand that you are not getting 1.5% on your Santander 123 accounts. When you take the account fees into account, the return is no more than 1.2%. There are easy-access savings accounts that will give you a true 1.5% apr, e.g. Marcus, and plenty of others not far behind.

As for the isas, assess them realistically. Isa interest rates used to be inexplicably high. Now the institutions have sobered up and isa rates are far more realistic. Combined with recent changes in tax legislation whereby most pay no tax on their savings income, isas are nothing like the "no-brainer" they used to be.

Zero_Sum

Why do you need £10k in a current account? As you'll get next to no interest on it (and as others have pointed out the full fat 123 is a bit of a con)
Stick £1500 in TSB current account at 3%, the other £8500 in an easy access account at 1.5% then drawdown when needed.

The rest you could look at 3 & 5 year bonds to get a better rate.
Or you could do some drip feeding into reg savers.

Neil_Jones

Ho hum, another post edited because they didn't like the replies.

Why do we bother?

For information the OP had £40k in two Santander 123 regular accounts (not lite), and about £15k in two ISAs. Wanted to keep £10k in a current account "for two or three years".

Iandunsmore

You're right. I didn't like the answers because they were crap.

Zero_Sum

Iandunsmore wrote: »

You're right. I didn't like the answers because they were crap.

What did you find crap about them?

Neil_Jones

Iandunsmore wrote: »

You're right. I didn't like the answers because they were crap.

I'm sorry you thought the answers were crap.
Well actually no I'm not sorry because you've removed the post and followed up with this reply you now come across as incredibly ungrateful.

If you don't want advice on what to do with your money, don't post on a savings board. Nobody's going to come and provide a link to a "guaranteed 500% return on investment" scheme because it doesn't exist, if that's what you were after.

eskbanker

Neil_Jones wrote: »

Nobody's going to come and provide a link to a "guaranteed 500% return on investment" scheme because it doesn't exist, if that's what you were after.

Not read many crypto threads then?