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Best monthly income for £20k
Dizzee_Rebel
Posts: 77 Forumite
Hi all,
Looking for some advice / ideas. I've exhausted pretty much all the current accounts & not really interested in regular savers - I'm after a monthly income.
With my 3 BoS Vantage accounts dropping to 1.5% soon, & my Nationwide Flexdirect 12 months just ended. I've been looking into putting £20k into a 5 year ISA - for a better rate.
Trouble is all the banks which are offering the best rates, are forign or which I know very little about.
I don't mind opening / managing it online, but it would be nice to have a branch to visit. The only one I can see offering this - with the best rate is Virgin at 2.05%
I'm Tempted by Vanquis at 2.67% - but I don't know anything about them
Anyone have an ISA shed any light, experience or feedback on the likes of:
Vanquis
UBL
Shawbrook
United Trust
Hodge Bank
All other ideas also appreciated.
Thanks in adavance :beer:
Looking for some advice / ideas. I've exhausted pretty much all the current accounts & not really interested in regular savers - I'm after a monthly income.
With my 3 BoS Vantage accounts dropping to 1.5% soon, & my Nationwide Flexdirect 12 months just ended. I've been looking into putting £20k into a 5 year ISA - for a better rate.
Trouble is all the banks which are offering the best rates, are forign or which I know very little about.
I don't mind opening / managing it online, but it would be nice to have a branch to visit. The only one I can see offering this - with the best rate is Virgin at 2.05%
I'm Tempted by Vanquis at 2.67% - but I don't know anything about them
Anyone have an ISA shed any light, experience or feedback on the likes of:
Vanquis
UBL
Shawbrook
United Trust
Hodge Bank
All other ideas also appreciated.
Thanks in adavance :beer:
0
Comments
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The main thing to check for is that the provider is covered by the Financial Services Compensation Scheme.
Assuming it is, then I'm not sure there's much significance in a UK-registered provider being owned by a foreign parent entity or if there's much value in branch access if you're locking your money away for five years, so personally I'd go for the highest rate among FSCS-protected brands.
Having said that, there's no chance that I'd commit to a five-year fix for savings, unless I was convinced that rates would continue to be depressed for such a long time, although your requirement for a monthly income does limit options, albeit you could potentially look at investments if you're unlikely to need access to the capital for over five years (preferably 7-10+)....0 -
Dizzee_Rebel wrote: »not really interested in regular savers - I'm after a monthly income.I've been looking into putting £20k into a 5 year ISA - for a better rate.
How does a 5 year lock out give you a monthly income?
In your position I'd be trickling the money in to regular savers from any interest paying current account you can get (obviously, the higher rate interest, the better), and using 0% purchases credit card for the 'income'. You'll make more in interest over the offer period of the card. You then simply pay the card off at the end of it's offer.0 -
binaryuniverse wrote: »How does a 5 year lock out give you a monthly income?
By paying the interest monthlybinaryuniverse wrote: »In your position I'd be trickling the money in to regular savers
All ready stated, not interested in regular savers... but thanks for your input0 -
The main thing to check for is that the provider is covered by the Financial Services Compensation Scheme.
Assuming it is, then I'm not sure there's much significance in a UK-registered provider being owned by a foreign parent entity or if there's much value in branch access if you're locking your money away for five years, so personally I'd go for the highest rate among FSCS-protected brands.
Having said that, there's no chance that I'd commit to a five-year fix for savings, unless I was convinced that rates would continue to be depressed for such a long time, although your requirement for a monthly income does limit options, albeit you could potentially look at investments if you're unlikely to need access to the capital for over five years (preferably 7-10+)....
Would you say I'm best keeping my numerous low rate paying current accounts, & opening some regular savers aswell? Hoping the rates will increase?
I opened a 5 year ISA with Virgin 3 years ago at 3%, and the best they can do now is 2.05% so am not really convinced the rates will rise any time soon.
I just don't know what to do next.0 -
With the interest rates so low you are only going to get about £10 a week interest on £20k. Half a percent difference equates to £100 per year.
You can probably save more money but skipping on meals out, drive less frequently etc.0 -
crumpetman wrote: »With the interest rates so low you are only going to get about £10 a week interest on £20k. Half a percent difference equates to £100 per year.
You can probably save more money but skipping on meals out, drive less frequently etc.
Wonderful contribution sir :T... tell me something I didn't already know...0 -
I just meant for the amount of interest you will receive, why not just put it in the bank you know about and not the foreign ones you have not heard of?0
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