Savings with no risks

masonic

giogiu1974 said:

I've just seen that I have 1.5% interest on my student loan. At the moment I'm at the threshold (48k) and will be earning about 52k in a few months, so I'm afraid the interest for the repayment will go up. Last year I was paying 5.6% interest, now the website says 1.5%! I think it is not correct because interest should be RPI plus 3% according to my salary. How come it's only 1.5%?

If you have a plan 2 loan then the base interest is 1.5%, but you pay up to 3% on top of that depending on your income. At £48k, you'll be paying close to the full 3% extra and it will be 3% when your income goes up to £52k.

moneysaver1978

Are you looking to dump 25K in one go or drip feed? Also do you need your savings soon?

If you are OK to leave it for at least 5 (ideally 10) years then perhaps a low-risk index fund is worth looking into.

Like you I don't like risk however I do like variety and try to maximise the income so in my case: low hundreds for risky investments, e.g. Weathify (you can adjust your risk aversion on the platform) and shares with Freetrade. The rest are in no-risk accounts.

Diplodicus

I think a company sharesave scheme as near as you can get to saving with no risk. Not quite an unlosable bet but the downside very much overshadowed by the potential upside.