We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Long term investment with standing order option
Comments
-
Hi, Hansi
I did mean to answer your question :-) - the only savings account I can find which allows standing orders is the Halifax Web Saver, which pays 4.9% variable. You could perhaps put one year's worth of fees into an instant access account and put the rest into a series of fixed term high interest accounts, maturing in one, two and three years' time. The interest on these could be left within the accounts or you could arrange for it to be paid monthly into the instant access account.
DD - The way I was looking at it was that from the point of view of the person in the home, it is comforting to know ( with the annuity ) that the care home fees will be paid no matter how long you are there - if you pay the fees out of capital, there would be a constant worry that the money might run out. And there is no way of investing £100000 that will bring in a secure income of £12000 - £25000 pa which is what I understand these homes cost.
Cheerfulcat0 -
If the life expectancy is likely to be more than 2-4 years then they could seen like very good value. However, remember that these are medically underwritten and the insurance company is going to make you pay for the risk. It could turn out to be very cheap, or very expensive. Its certainly worth consideration at least to get a quotation.
Its a horrible consideration that you are looking at the life expectancy of a relative against the returns available. However, such is the requirement of this unfortunatly.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.6K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.7K Work, Benefits & Business
- 603K Mortgages, Homes & Bills
- 178.1K Life & Family
- 260.7K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards