inverstments

motherearth31

we are moving out to spain and have sold our house i need to invest £50,000 but would like to earn as much interest as possible, any help in the best type of investment would be really helpfull we are taking enough money to last us 3 years so dont need to have instant access to the rest for a bit,have been to my own bank but not really that helpfull, not sure if english or spanish bank would be better

missile

That would depend, if you intend staying in spain permanently, IMHO you would be better saving in euros

cloud_dog

Mother, you need to give more details.

You talk about investment but then talk in terms of interest. Do you mean investment (with associated risk) or do you mean savings accounts (relatively secure/safe deposit accounts)???

cloud_dog

Steve_xx

missile wrote: »

That would depend, if you intend staying in spain permanently, IMHO you would be better saving in euros

It's interesting that you suggest that. Is it not the case that interest rates in euroland are lower than those in the UK?

missile

Not necessarily, several banks have attractive fixed rate / duration accounts without the strings attached that many UK banks apply.

However, the main concern is exchange rate flutuations. I would guess the pound is likely to continue to fall vs euro, but why take the risk? IMHO if his expenditure is in Spain then best to save in euros.

Steve_xx

....would you care to point us to some of these banks?

missile

Well, I am not suggesting rates are higher in Spain they are not. However the difference is not as great as you might think. As I said if he is permanently living in Spain my concern is currency fluctuation and currency exchange charges, could easily wipe out any gain he may make on the higher rates which may be available in UK.
FYI, just a few offers currently available from high street banks>
SOL Bank offering 4.25%
Bankinter offering 5.51%
Grupo Banco Popular ~ regular saver 8%
I am sure one could find better if you look harder

On the flip side the cost of borrowing is lower than UK.

motherearth31

thanks to you all i wanted to earn as much interest as possible i think i will do some more research in to the spanish banking my bank have now told me that i might be better with offshore banking but im really not so sure,

missile

I have tried a few and find CAM best for service. see http://www.cam.es/ They are currently offering 4.75% and have accounts if you want to save in £

Beware charges, e.g. BBVA charge customers to put money IN to their account.

missile

.........and 3% off your fuel @ BP stations with your CAM card