Fixed Rate or ISA confusion

friolento

Bella79 said:

Hi All

Thank you for all your replies and advice so far. 

I think the plan we have so far is:

£20k Natwest ISA 2 yer fixed 5.9%
1 year fixed ATOM 6.09% (one each £10k in each one)

Leave £7850 that I was going to put into a easy access, But I need to find one that doesn't give a penalty for withdrawing, or just leave it in santander (think I get 3.5%)

I also want to contribute to the easy access/santander, we have another £130ish a month spare that I want to save.

Its difficult to know, how much to leave for quick access! 

Does this sound okay?

ISAs cannot be held in joint names, so you need to decide in whose name you put the £20k. Or have one ISA each, with £10k in each.

I would put the £7,850 into a better paying savings account. You can get 4.5%+ quite easily - though again, not necessarily in a joint account. Still, your interest at 3.5% over a year is £274.75, at 4.6% it's £361.10.