advice for elderly relative - earning monthly interest on savings

petalclark

Hi All

First time posting so I hope you can help with some good advice.

An elderly relative has £50,000 of savings and uses the interest as a monthly income. She currently has a Nationwide Monthly Income 60+ which has an AER of 5.07% and Gross P.A of 4.96%

http://www.nationwide.co.uk/pdf/savings/P114_InstantAccessSavings.pdf

Is this the best place for her money?

Is it the safest place for her money? She is particularly concerned for the recent Northern Rock crisis and has concerns for how much of her money is safe and how best to split it and still achieve the same monthly interest if not higher.

Appreciate your comments & advice!

Kind regards
Petal

notis7

3 words Extra Income Saver - I have said this before. The wife and I are pensioners and get great comfort in knowing we get extra revenue from our savings..... additional income - which is great!!!

This account was designed for this purpose.....have a look
http://www.halifax.co.uk/savings/extraincome.asp

It pays above the Bank of England Base rate so you know your money is getting a proper return.....There are better accounts out there which pay higher interest and I have tried a few but this is tailored for my needs.....It may be the thing for you or it may not be....

dunstonh

duplicate thread: http://forums.moneysavingexpert.com/showthread.html?t=914309

please use one or the other as to not duplicate.

nicko33

Why not a fixed term fixed rate "bond" for around 6.9% ?

whu

SAGA are doing a decent rate for fixed term bonds - 6.76%gross - the monthly interest gets paid to another account but the capital is tied up for 1 year