HELP - Regular saving with lump sum and 1k monthly deposits

deliden

Morning all, im brand new here so I hope in in the right place. I am looking for the best place to save roughly 1,000 per month for 2 years or more, with the best interest rate either regular saver or ISA. I looked at various places online but many offer deals over 5 or 6% with a 400 cap per month. I don't want to manage 3 accounts ideally to save 1k per month. I already have 2 edge accts with santander so I am maxed out there. Investment is an option but I don't feel comfortable without knowledge and risk assessment.

Please advise if you can, I will be so grateful! 

Thanks! 

surreysaver

To earn the most money, you have to jump through the hoops unfortunately.
Stafford Building Society do a regular saver account where you can pay in £1k pm, it pays 5.15%
Be aware that it's variable rate, so you'll have to keep an eye on it and be prepared to move your money if the rate goes down (you can withdraw your money from this account)
https://srbs.co.uk/savings-product/regular-saver/

Bigwheels1111

I run 15 regular savers, you don't want to manage 3 accounts.

You might have a few issues then.

There is at least one RS that allows 1k a month deposit.

Like this.

https://www.leedsbuildingsociety.co.uk/savings/regular-saver/home-deposit-saver/?utm_source=moneyfacts&utm_campaign=HDS&utm_medium=paidaggregation&utm_customertype=b2c_savings

deliden

Bigwheels1111 said:

I run 15 regular savers, you don't want to manage 3 accounts.

You might have a few issues then.

There is at least one RS that allows 1k a month deposit.

Like this.

Thank you for the recommendation, based on their criteria im not eligible.

The reason I said I don't want to manage 3 accts for the 1k is because I already have a few for other types of savings. I don't have other issues than time.

I appreciate your response though

Kim_13

The Moneyfacts Regular Saver search can be filtered to only return those accounts allowing a £1,000 deposit, the Stafford Building Society currently pays the most of these: https://moneyfactscompare.co.uk/savings-accounts/regular-savings-accounts/?id=null&business-type=16&activity-type=null&investment-amount=1000&investment-type=2&account-types=16&interest-paid-frequencies=null&terms=null&account-opening-methods=null&account-management-methods=null&notice-periods=null&include-notice-period=true&include-term=true&age=21&has-withdrawal-restrictions=2&existing-customers-only=2&is-shariaa=2&joint-account-only=2

crumpet_man

If you are paying tax on your interest from savings then consider a cash ISA from Trading 212 currently 5.1% AER.

Kim_13

Just to add that Regular Saver ISAs are usually available for a short time at the beginning of each tax year, I’ve got the Saffron Building Society one as it was a fixed 4.75% and able to be opened by post for non-locals. 

Current offerings are listed here but unless you are at risk of pushing yourself into a higher tax band due to interest earned in taxable accounts, they’re probably not worth it. 5.15% after basic rate tax is still more than a 4% ISA (and the Vernon one has postcode restrictions attached.)

https://moneyfactscompare.co.uk/isa/regular-savings-isas/

crumpet_man

Am I missing something with regards to regular saver cash ISA?  Why use this instead of a normal ISA which has a higher rate of interest?  Trading 212 is 5.1% (variable) and is flexible.  

Catplan

crumpet_man said:

Am I missing something with regards to regular saver cash ISA?  Why use this instead of a normal ISA which has a higher rate of interest?  Trading 212 is 5.1% (variable) and is flexible.  

Maybe the feel 4.75 fixed will work out better over the term🤷‍♂️

Kim_13

Catplan said:

crumpet_man said:

Am I missing something with regards to regular saver cash ISA?  Why use this instead of a normal ISA which has a higher rate of interest?  Trading 212 is 5.1% (variable) and is flexible.  

Maybe the feel 4.75 fixed will work out better over the term🤷‍♂️

If OP wanted an ISA right now, then yes a normal ISA would be likely to be the best thing. 

I’ve opened a Regular Saver ISA at the beginning of the last two tax years, purely because it was a fixed rate and the best ones are usually withdrawn before the end of April. There were no penalties for withdrawals, so it allowed me to transfer to a normal fixed mid year in 23/24. I still have this year’s, receiving any overflow from Regular Saver maturities that can’t be redistributed at a higher rate. I indeed thought it would beat easy access over the term - and if you want a fixed rate but don’t have the full amount you wish to fix available within 30 days (or whatever the funding window is) then a Regular Saver ISA is the only way to do that. 

Angelica123

deliden said:

Bigwheels1111 said:

I run 15 regular savers, you don't want to manage 3 accounts.

You might have a few issues then.

There is at least one RS that allows 1k a month deposit.

Like this.

Thank you for the recommendation, based on their criteria im not eligible.

The reason I said I don't want to manage 3 accts for the 1k is because I already have a few for other types of savings. I don't have other issues than time.

I appreciate your response though

How much do you need to manage them? Other than the initial set up, you can automate everything with standing orders. The best regular savers on the market are 7-8%, if you are limiting yourself to those with 1000k deposit than you are only getting 5.15%. you lose out approx £150 interest by going with the latter.