which savings account

jasonmaile1973 wrote:

Hello money savers,

Ive got 10k which i need to save,

What should i do it to make it work the best?


jason

Hi Jason, welcome to MSE.

Are you a tax payer? If so, I would say put £3,000 of the money into a mini cash ISA.

There are lot's of mini cash ISA options, here are a couple:

NS&I offer 5.05% on their Direct mini cash ISA with a guarantee to pay 0.55% above BOE base rate until April 2008. Link to the Direct ISA Info page

If you won't need to withdraw the money for a year,

Halifax offer a 1-year fixed rate ISA, currently offering 5.00%. Link to the fixed rate ISA page.

Check out the
Moneyfacts mini cash ISA webpage for more.

Then you could put the rest into Birmingham Midshires' account which currently pays 4.95%. The rate includes a 0.65% bonus that lasts for the first year.

There is currently a thread on this account: http://forums.moneysavingexpert.com/showthread.html?t=184837

Here's a link to the Birminsham Midshires website: http://www.askbm.co.uk

If you aren't going to need some of the money for a while, then you could open a couple of regular savings accounts, feeding the money into them from a normal savings account, like the one offered by BM, each month. Here are a few options:

Halifax pay a 7% fixed rate on their regular saver. It allows deposits between £25 and £250 per month and runs for 1 year. The money is swept into a nominated account on the anniversary of the account. Link to the Halifax regular saver

Principality Building Society's regular saver pays 6% (fixed). Account runs for 1 year and requires deposits of between £20 to £500 per month. Money is swept into a nominated account on maturity. Link to the Principality BS .

Scarborough Building Society's regular saver pays 6% (variable). Deposits between £10 to £250. The money is not swept out after one year, the maximum balance is £15,000. Link to the Scarborough BS RS.

Regular savers paying 10% are also offered by Alliance & Leicester and Barclays. You must have/open a current account with them and fund them each month to get their regular savings accounts.

Moneyfacts regular savers list