Last bit of money in premium bonds what to do?

FlorayG

When I inherited in 2020 I put the max in Premium Bonds because the payout was much better than bank interest. I've since spent almost all of it on property improvements and left £1,000 in there as 'emergency fund' but now the amount is so low, I've won nothing for many months.
Where would be the best place to put this money with the following criteria;
I'm not going to touch it unless I absolutely have to (but I need reasonably easy access 'just in case' although it doesn't have to be same day)
It needs to keep up with inflation so that it will always be worth the same in real terms
I don't want to mix it in with my other savings account. Would another savings account with my second bank be the best option?

I know in today's terms £1,000 isn't much but it would be nice to see it accumulating a bit of interest and not being spent, hopefully over many years

Then the other option I've thought about is a high-risk-high-return investment because I CAN afford to lose it. Any recommendations for that? Again, I know it's only a small amount.

Exodi

Savings - probably chuck it in trading 212 cash ISA paying 4.9% (assuming you haven't contributed over £20k in total to ISA's this year). This is keeping up with inflation, and some.

Investments - Vanguard just introduced a minimum fee which makes holding small balances with them unviable, however you could consider opening an InvestEngine account (no platform fee) and putting the £1k in an accumulating all world index ETF.

Personally from what you've said I don't think you should consider investing.

I don't think you should take the money to the casino (or high-risk high-return investing as you call it), especially without any prior knowledge.

dave2319

Not much difference but you could check the Best savings accounts page on this site for other options.

Definitely good to take it out of Premium Bonds though. As mentioned here, for someone with £1,000 in them, the median average winnings per year is nothing.