212 cash ISA

housebuyer7

Hello, I’m looking to put £130,000 into the 212 cash ISA for 1-3 months while I wait for my house purchase to go through. Any concerns with this company or me doing this? I’ve never heard of them before and I feel clueless! And what does it mean about the £20k threshold which I will be exceeding?

Flugelhorn

you can only put 20K into an ISA in any one tax year - so no good trying to put 130k in 

the interest on ISAs is tax free 

you'll need to find other non ISA accounts for the rest of the money 

Ayr_Rage

The only way you can put £130,000 into T212 is if that is a combination of this year's allowance plus a transfer in from previous tax years.

You need to read the rules!

housebuyer7

OK so if I put £20k into an ISA where am I best putting the rest??

housebuyer7

Would I be better off putting the lot into Monument Bank - limited access saver?

Flugelhorn

housebuyer7 said:

OK so if I put £20k into an ISA where am I best putting the rest??

https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/#easyaccess

there are some listed here 

Ayr_Rage

Trading 212 Invest, put it in as cash and you can get 4.9% instant access.

Slight risk as they use QMMFs as well as banks.

You won't find this on comparison sites as it is part of their Invest product.

https://www.trading212.com/interest-on-cash

housebuyer7

I am scared to use that @Ayr_Rage maybe I should just put the whole lot in one savings account. I looked at Monument Bank - limited access saver and it says 4.75% AER so is that a good option?

Ayr_Rage

housebuyer7 said:

I am scared to use that @Ayr_Rage maybe I should just put the whole lot in one savings account. I looked at Monument Bank - limited access saver and it says 4.75% AER so is that a good option?

Sorry, not making recommendations!

If I was you I'd keep it in one instant access account where you can withdraw without any penalty.

For just 1-3 months spreading it around is hardly worth it.

housebuyer7

@Ayr_Rage thank you do you mean an instant access savings account like the one I mentioned above as an example?

Flugelhorn

housebuyer7 said:

@Ayr_Rage thank you do you mean an instant access savings account like the one I mentioned above as an example?

I think you should look for at the link I posted above which shows a range of accounts - TBH 1-3 months is not long and the difference in interest won't amount to much. Does your own bank have a savings account that would do? - can be much easier and quicker opening one with them and then easier to transfer the money to the solicitor when you buy the new house