SLLM (Single Lady Large Mortgage)

Sandyra

For example, SG has a goal of £100k savings in 4 years or less. Say £25k a year, that's £5k above ISA limit. Where would one put this extra amount for a decent return?

I would have said to put it into 1 year fixed saver @1.45% Marcus account or their easy access account @1.14% but the fixed has dropped to 0.70 and the easy access they are no longer taking new applications. I think I said NS&I is at 1.16%, but fixed rates for 5 years is at 1.45%.

Sandyra

Something to add today and some advice from you amazing ladies.

1. Today I had to ring up the 2 companies today about fradulent applications made in my name, one for a credit card and the other a graduate account. Bless the CA she asked when I did I last hold a gradate account - I said 2006. So they have put markers, and will remove the hard searches in my credit file, explains the alerts I got for the account and the drop in credit score - so be aware.
2. My payday used to be on 24th and my bills went out on the 1st, so I always had ample money to play around and pay. Having moved jobs, I get paid on the last day of the month 28th-31st unless it falls on a weekend. So I have a buffer amount sitting in my account so it's there ready. I'm thinking I don't really need it, if I'm on top of my finances? I just need to transfer it over, and its faster payment so it gets there in seconds. Would you keep buffer or would you just pay it in time for the first?

Sistergold

@HelloB
Thank you. Yes even regular saver limit is £3k, dilemma where to save? 

Xx

HelloB

@Sistergold I understand re: buffer, I'm guilty of having this irrational thought that something catastrophic would happen needing immediate access to cash. If you are confident with your budgeting, there is no reason why you would have spare cash sitting in the current account not earning interest. Plus it's an incentive to OP!

My pay day is 18th and bills come out on 1st. It gives me anxiety that I have to keep cash in my current account ready for the bills to come out a couple of weeks later. 

HelloB

On the fraudulent applications, I've not encountered this myself, so am curious how it could happen when the bank/companies have anti money laundering regs. Although well done on catching the hard search on your credit file and dealing with it. 

Sistergold

Sandyra said:

I think I said NS&I is at 1.16%, but fixed rates for 5 years is at 1.45%.

5years will be too long as I don’t even think I will need the 4yrs to save the £100k. Annoying really as there is nothing straightforward for ordinary people like us who don’t really want to go into stocks and shares and what not. 

Sistergold

@Sandyra
I can not say I really keep a buffer in my account, I do have an overdraft limit which covers my highest possible bill and that is the mortgage and I just let the account operate with some kind of positive balance. So when I spend or a payment goes out and there is not enough funds the overdraft facility will allow payments to go through, bank sends me an alert that I am have used my overdraft etc, I then just top the account up to some positive figure which I decide every time I get an alert. I act on the overdraft almost immediately or at end of day to avoid charges. Past few months I have not needed to act so quickly as Part my arranged overdraft is free due to COVID policy but I don’t let account exceed the free limit which is £500 I think. 

I have the emergency fund but I do have flexibility fund which I just keep to let life be flexible. 

Sandyra

Sorry that was me Sandyra inquiring about the buffer @HelloB. Thanks for the advice @HelloB and @Sistergold. I’m gonna relinquish the buffer and like you said SG looked into an overdraft. I’ve never had one or used one so hopefully I can arrange one for the main bulk. 

Sistergold

@Sandyra
Yes an overdraft for someone with financial discipline is the buffer which lets the account operate without any glitches if you take your eye off from your account a bit. You don’t get direct debits being rejected due to insufficient funds and so when you check and you find it’s now negative balance you sort it out. 

Xx

Queen_of_the_Hive

Hello ladies, happy saturday evening. The kids are with their dad and I have a bit of free time yipee! 

Not much to report on savings etc however I tackled one very minor task I had meant to do for a while. In the past couple of years I have moved twice and had to change my address on each occasion - this is a major headache in itself. Anyway finally made an electronic copy of all the current companies that have my address. It was written on the back of a scruffy envelope that kept migrating from one pile to the other till finally it made it to the top of the to do list! 

Also had a bit of look on rightmove to see whats available. Found a nice flat that fits the bill but again still out of my price range. I basically need a bigger deposit. But its all motivational atm.