Where to save inheritance?

swjf1q

Hi all, 
I'm a little stuck and confused. 

My late Nan left me a large (large to me anyway) amount of money. I plan on paying off the small amount of debt I have with it leaving around £11000. I would like to save for a house  but where I live most house prices are £250,000.
So I know i need to save the money from nan and more. I will be able to save around £400-£500 a month from my salary. 

My question is where do I save this amount of money? I am happy to split my savings up and I have a funny feeling I might have to. 

eskbanker

https://www.moneysavingexpert.com/savings/which-saving-account/
https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/

kuratowski

As above, and if you are under 40, consider opening a LISA.

where_are_we

Regular savers are good for the £500 a month from salary - though it takes a bit of work setting up - some are linked to current accounts. But be quick as they will not last in the current climate and going for fixed rates such as Halifax 2% and VirginMoney 2% at least gives you interest rate surety for a year. Coventry BS 2.5% is good for now but interest is variable and probably will reduce in the next year. You can drip feed these regular savers with standing orders from your current account. One good place for your £11000 lump sum is Marcus 1.3% but it is a savings account and doesn`t do standing orders so you would have to top up your current account manually each month from Marcus if your regular saver SO`s outgoings are more than what`s coming in.

xylophone

https://www.thenottingham.com/savings/products/lifetime-isa/ might suit.
https://www.thisismoney.co.uk/money/article-1583859/Best-savings-rates-General-savings-Internet-branch.html