Cash Deposit Accounts- SIPP's

midlandsimon

Me and my wife both hold SIPP's with a provider called InvestAcc, their administration and service to date has been excellent. My wife is very risk averse and her fund is all held in Fixed Term cash deposit accounts which she does not exceed the FSCS protection limit of £85,000 with each Bank/ Building society. Her initial cash funds are coming to their maturity and we are planning the re-investment into new term accounts.


We have had accounts with:


Julian Hodge
Cater Allen
State Bank of India
National Savings
Punjab Bank
Metro Bank
Investec
BLME
Bank of Baroda
Buckinghamshire
Close Brothers


Are people aware of any banks/building society that offer deposit accounts for SIPPs?


Thank you
Simon

caveman8006

United Trust does a market-leading 2-year fixed deposit (1.95% I think). Check out the Investment Sense "Accounts for SIPPS and Pensions" table which is a useful tool

midlandsimon

Thanks Caveman. Just checked and they have a number of accounts with my SIPP provider already so will give them a go. Think in this Brexit/Recession Threat/Trump environment, my wife has the right idea keeping her SIPP funds in cash accounts!!!

midlandsimon

Just a bump on this. Anyone aware of any other cash deposit accounts for SIPPs apart from the above?

PaulCooper

Hi Simon
You've certainly got all of the accounts I know about & a few more, I am holding some funds in the Ipswich BS, but I'm pretty sure their accounts are closed to new business. Just as a matter of interest (no pun intended), what sort of interest rates are you receiving? Anyone on here that invests mostly in cash does come in for a bit of criticism on this forum, but with the recent events I feel completely justified in my cash position
Paul 

caveman8006

Since I placed my (c £800,000) SIPP with Investac Minerva in November 2018, I have been receiving c1.7% pa from my "ladder" of deposits (ranging from 1 to 5 years in duration) using most of the names above - this is clearly better than what would have happened in normal stock market funds. I also have a smaller pot with AJ Bell which has to use listed funds to try and replicate a low risk strategy...I have approximately 1/3 each in SLXX (GBP investment grade corporate bonds ETF yielding 2.6%), SHYG (UK index-linked bonds ETF yielding 1.4%)  and TMPL (value-oriented Investment Trust  yielding 6.9%). This portfolio is down about 10% over the last 12 months 

RobEW

I have an InvestAcc "Minerva" SIPP currently held in various cash accounts with varying durations and interest rates, set up for me by a financial advisor. Hope this isn't off topic, but I'm thinking some of it ought to be invested rather than in savings accounts, and I have a clear idea of where I'd like it invested, but I have absolutely no idea how, practically, to implement my own investment choices. The S of SIPP is supposed to indicate you can do it your *self* rather than have to go through intermediaries who need to be paid. Do you use the InvestAcc website to do this (it seems to be only informational), or do you write to them or fill in some forms or what? I feel rather separated from my own money by layers of bureaucracy who speak a private language. Is there some kind of "Idiot's Guide"?

Longshanksy

midlandsimon said:

Me and my wife both hold SIPP's with a provider called InvestAcc, their administration and service to date has been excellent. My wife is very risk averse and her fund is all held in Fixed Term cash deposit accounts which she does not exceed the FSCS protection limit of £85,000 with each Bank/ Building society. Her initial cash funds are coming to their maturity and we are planning the re-investment into new term accounts.


We have had accounts with:


Julian Hodge
Cater Allen
State Bank of India
National Savings
Punjab Bank
Metro Bank
Investec
BLME
Bank of Baroda
Buckinghamshire
Close Brothers


Are people aware of any banks/building society that offer deposit accounts for SIPPs?


Thank you
Simon

Hi Simon,

I realise this is an old post - I have recently opened an account with Investacc and wondering if you have a more updated list of banks that you are now dealing with?  As I am looking to in effect lock my money away for 3-5 years in the higher interest rate environment.

Many Thanks,
Niall (Longshanksy)

peterg1965

Same here, I have a Minerva SIPP with money invested in fixed rate accounts.  

I realise this is 3 years out of date, but for the record, Teachers Building Society offers access to SIPP deposit accounts.  Not sure how competitive their rates are though.

dunstonh

. The S of SIPP is supposed to indicate you can do it your *self* rather than have to go through intermediaries who need to be paid. 

That is not correct.    The Self bit means investing in assets that are not from the pension provider themselves.  i.e. if you used a PPP, you would be investing in the life company funds.       A SIPP allows you or your intermediary to select investments from the whole of market.

mcc100

As mentioned earlier in this thread, Investment Sense "Accounts for SIPPS" has a list of deposit accounts in which cash can be held. Currently rates of over 5% are available.