Interest on £100,000?

Stonk

Bradford and Bingley's eSaver 2 pays monthly interest too, at 5.13% (which compounds to give 5.25% AER). That's a bit higher than ING, and you'd get (gross) between £393.53 in a 28-day-month and £435.70 in a 31-day-month.

I'd put half in each of B&B and ING, to hedge against the possibility of one of them reducing their rate.

Note that the interest on your £100K alone will make you a taxpayer.

dunstonh

There are of course ways to avoid that but that would require using products which are not deposit based (deposit based as clarified correctly ealier in thread).

Unless its short term money, I wouldnt place it all on deposit. Equally, if you are not savvy on investments, you wouldnt place it all into an investment. Remember risk is not all or nothing. Its a sliding scale and a little bit of risk should be acceptable on some of the funds. Even if its a minority amount to begin with.

However, at the end of the day, you have to sleep happy in bed with what you have and if you end up worring about money, then that isnt a good thing.

System

Thanks for your replies guys, i knew i could count on you. Well, i think i will sit on my dream a bit longer, as suddenly becoming a tax payer puts me off ever so slightly.