Absolutely clueless re: what to do for the best.

Iamdebtfree

Hi all,
Husband and I have around 27K sitting in the bank - inheritance.
We want it to produce SOME kind of a return or whatever the correct term is.
We're absolutely not investing it into any stocks or shares or such like - this is all we have and we're not prepared to loose a penny of it.
We simply want to have, broadly speaking, 27.5 K or thereabouts by end of this year. 
What would you suggest? An ISA? There are so many of them and I literally just do not understand the small print - I've had life-long phobia of maths and economics and won't be changing any time soon at age 49..
Thank you..

Prism

Have a look at the fixed savings accounts on this site. As long as you lock it away for a year or two you should be able to get a small return, currently about 1.5% to 1.8%

Mrbeethoven

Start by reading the banking and saving area of MSE (not the forum).
I'm not being allowed to post a link, perhaps someone else will add it.
Or you could just look in the menu.
You will not be clueless after that.

To have £27.5k by the end of this year you will need to earn 1.85% in 10 months. That needs an annual interest rate of about 2.2% but without tying up your money for more than 9 or 10 months. I believe the best 1 year fix is currently 1.6% but rates have been falling so it may not be around for long!

You could combine switching your bank account to get a £175 switching bribe with getting the best savings rate you can find. That will probably get you close to a return of £500.
ISAs are probably not worth bothering with as the rates tend to be lower and the first £2000 of interest is tax free anyway (unless you are a higher rate taxpayer).

xylophone

https://www.thisismoney.co.uk/money/article-1583859/Best-savings-rates-General-savings-Internet-branch.html
To achieve £500 on £27,000 after one year requires an interest rate  between 1.8 and 1.9 %. - this is currently not available on easy access or even three year fixed rate accounts.

LobsterMemory

Think you're being a bit literal there, xylophone: the OP just wants to make a safe few bob, not exactly £500
So...
https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/
If you want to be able to access your money at any time, look at the easy access savings
If you can leave it for a year look at the fixed rate accounts

No need for an ISA as you can earn £1000 interest a year before having to pay tax

xylophone

Think you're being a bit literal there, xylophone: the OP just wants to make a safe few bob, not exactly £500

  

Yes - I was just pointing out that currently rates are pretty dire, especially considering that CPI inflation was 1.8% last month

Another thought - they might hold the cash in the best easy access  account they can get and then

 using any regular savings accounts that are available to them  - examples - https://www.coventrybuildingsociety.co.uk/consumer/savings-accounts/Regular-Saver.html they could contribute £1000 a month between them @ 2.5%

https://uk.virginmoney.com/savings/products/regular_e_saver_issue_14 £500 a month between them @ 2%

https://www.ybs.co.uk/savings/regular-saver/index.html £600 a month between them at 2.1%.

Iamdebtfree

'..Think you're being a bit literal there, xylophone: the OP just wants to make a safe few bob, not exactly £500'
That's correct, thank you..
'..To have £27.5k by the end of this year you will need to earn 1.85% in 10 months. That needs an annual interest rate of about 2.2% '
This to me, a mathematically challenged moron, might as well be written in Japanese... I can do 2+2 = 4 (or was it 5?). That's about it. I do speak three foreign languages though.
I think I'll just find the best nice and safe  easy access savings account.

Thanks everyone..

xylophone

I think I'll just find the best nice and safe  easy access savings account.

If that's what suits you best that's fine - have a look at regular savings though!