Inexperienced Saver, how to maximise return?

apydm · 22 September 2018 at 5:29PM

Hello there,
Here's the blurb...
This is my first thread on this site and indeed first entre into a confusing world. I'm a student who currently works as a paralegal. I'm looking to self-finance my final legal qualification and currently have 5k in my current account, 40k in savings for a future deposit. I'm looking to reach 16k by next September in order to begin the course.

As such I have been considering taking out two £1,500 Classic Plus accounts with TSB paying 5% AER, then looking to upgrade my current Halifax account to the saver version paying 2.5% AER as I transfer my monthly savings.

I have looked into P2P lending and higher risk returns, but feel this is currently a wise move on account of my age, lack of means and high risk.

If anyone could provide any finance to a headless chicken, it would be most appreciated.

eskbanker · 22 September 2018 at 5:35PM

Best places to start are the two quick links further up the page, titled 'how to start saving' and 'top savings accounts'.

soulsaver · 23 September 2018 at 1:02AM

Maximise returns?
returns[SIZE="14[FONT="Arial Black"][/FONT]"][/SIZE]

bostonerimus · 23 September 2018 at 3:21AM

As you have near term plans for this money you are doing the right thing by getting as much zero risk interest from your bank accounts. Rather than looking for risky return, do a budget so that you can find ways to cut expenses and maximize your saving. You should also be contributing to a workplace pension, if you have one, and in there you can take a lot more risk as you won't need that money for a few decades, so look into multi-asset funds with quite high percentages of equities.

bostonerimus · 23 September 2018 at 3:34AM

This is how to make returns big
Returns

ColdIron · 23 September 2018 at 8:41AM

bostonerimus wrote: »

This is how to make returns big
Returns

So now you're actively managing returns? I thought you were a passive kind of guy

Albermarle · 23 September 2018 at 5:50PM

I have looked into P2P lending and higher risk returns, but feel this is currently a wise move on account of my age, lack of means and high risk.

Presume you mean' not a wise move '
In which case I would agree with you . Firstly you should never invest in anything you feel uncomfortable with or do not understand properly.
Secondly any investment in relatively high risk investments ( like P2P) should only be a small part of any investments , not the main one.
As Bostonerimis said you should at some point , think about a pension for the long term .

Voyager2002 · 23 September 2018 at 10:09PM

I am astonished that your savings have reached such a high level. Did you work full-time (and save) before going to university? In any case, in that respect you have done very well and probably could teach a few people on this board some lessons (rather than the other way round).

My main comment is that at this stage perhaps you should spend LESS time and effort on money. What matters most is that you get a training contract (if you are aiming at becoming a solicitor) or pupillage (for the bar). Competition for these places is fierce, so you need something outstanding on your CV. Getting a high grade for your degree, ideally with a prize for something, would do you no harm at all, and that takes a great deal of time and effort. It is possible, just possible, that you might get one of the rare positions where your future employer pays for you to do the LPC: if so, the time you spent studying would have shown a far greater return than any other investment open to you.

Inexperienced Saver, how to maximise return?

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