Savings account or Stocks & Shares ISA

Kateh001

Should I transfer my money from my Tesco online saver to Moneybox stocks and shares ISA?

For Tesco I got £6.76 interest for year with about £6000

For Moneybox I’ve currently got £5.32 interest for £105

I want the money available for summer holidays/ for emergencies and don’t want to put it in my LISA that I have. Any help or ideas would be greatly appreciated!

Albermarle

For Moneybox I’ve currently got £5.32 interest for £10

Just to be clear , you did not earn interest , your investments increased during that period .
Going forward they could increase further , or just as easily go down and you could well have less than you started with.
You can not make a straight comparison with a savings account where your money will never go down .

For Tesco I got £6.76 interest for year with about £6000

You must be in a very poor savings account . Normally £6K should earn at least £100

Yellow_mango

S&S are not generally a good choice for short term savings or emergency funds. They are a long term (5+ years) investment vehicle.

The general advice is that you should not consider S&S until you have enough cash savings to cover all your short term / emergency requirements.

Alexland

Yes even balanced risk S&S investment is only suitable for money you will not need to access for at least 5 years to manage the risk you withdraw less than you contributed.

Zero_Sum

Open a Nationwide flexdirect account & stick £2500 in @ 5%
Open a TSB current account & stick £1500 in @ 3%
Open a Marcus account & stick remaining £2000 in @ £1.5%