Where to put an inheritance

Mrs_pbradley936

What should you do if you want to put an inheritance (approx £100K) somewhere for as long as it takes to sell your flat and buy a house using the inheritance and the equity and tying them together for the new place with possibly a small mortgage?

Linton

As you are only storing your money for the short term the main factor to be considered is safety and ease of access rather than return.  So I suggest you look in the best buy lists for a simple instant access  savings account with the highest interest with a bank you have heard of.  It would be prudent to split the money between 2 accounts to ensure you are fully covered by the FSCS guarantee which is limited to £85K.

If you are selling your flat before buying the house then you are ok for £1M  for up to 6 months.

Band7

Keep it in accessible savings account(s) - easy access and/or notice accounts, possibly. You have 6 months temporary high balance protection so you can keep all the money in one account for 6 months. After that, you'd need to split it between at least two accounts unless you choose a joint account, in which case your FSCS protection with be 2 x £85,000, more than enough to cover your sum of money. Alternatively, you can put the money into an NS&I account, but they don't pay the best interest rate.

RobM99

How about a 90-day account? Slightly better rate than easy access.