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  • FIRST POST
    • Getting_By
    • By Getting_By 8th Jan 18, 12:48 PM
    • 42Posts
    • 5Thanks
    Getting_By
    Where should I put my money?
    • #1
    • 8th Jan 18, 12:48 PM
    Where should I put my money? 8th Jan 18 at 12:48 PM
    Hi.

    At the moment I am what you might call cash rich but asset poor. I was saving for a mortgage but the market doesn't work for a single person on a low income so in the end I never bought anything. On top of that I have left my position in the civil service due to being bullied.

    So I have decided to take a break from the jobs market for the time being. Luckily I am still with one of my parents, so rent is low.

    So I have roughly 25k to put somewhere. At the moment it is in a 123 current account but with myself being unemployed I don't think I can get that benefit any more.

    I know interest rates are still pathetic and well below inflation therefore I am prepared to go into a 2 year deal to get a better rate.

    If anyone could advice me what my best option would be I would be most grateful.
Page 1
    • xylophone
    • By xylophone 8th Jan 18, 1:05 PM
    • 25,577 Posts
    • 15,106 Thanks
    xylophone
    • #2
    • 8th Jan 18, 1:05 PM
    • #2
    • 8th Jan 18, 1:05 PM
    I see no reason why you should not keep the 123 if you wish - presumably you have the two DDS and you can simply cycle in/out the required monthly input from another account.

    http://www.thisismoney.co.uk/money/article-1583859/Best-savings-rates-General-savings-Internet-branch.html
    • NineDeuce
    • By NineDeuce 8th Jan 18, 1:56 PM
    • 827 Posts
    • 766 Thanks
    NineDeuce
    • #3
    • 8th Jan 18, 1:56 PM
    • #3
    • 8th Jan 18, 1:56 PM
    I reckon you should spend it all on Bitcoin.....
    • ivormonee
    • By ivormonee 8th Jan 18, 2:05 PM
    • 167 Posts
    • 102 Thanks
    ivormonee
    • #4
    • 8th Jan 18, 2:05 PM
    • #4
    • 8th Jan 18, 2:05 PM
    You can find best buy tables for the best two year rates on fixed rate bonds if that's what you've decided to do with your money. You'll get slightly better rates than a one year bond although is it really worth it?

    The suggestion of putting the entire amount on Bitcoin would be a high risk option as it may be a way of losing the entire amount or making you extremely rich and nobody can know which way it will go.
    • JusinScot
    • By JusinScot 8th Jan 18, 2:13 PM
    • 11 Posts
    • 1 Thanks
    JusinScot
    • #5
    • 8th Jan 18, 2:13 PM
    • #5
    • 8th Jan 18, 2:13 PM
    For a short term cash park I can recommend NS&I Premium bonds.

    I've had my cash in there for about 4 months and I have got about 1% return so far. That's the same as I was getting in a saving account.
    • Getting_By
    • By Getting_By 8th Jan 18, 4:15 PM
    • 42 Posts
    • 5 Thanks
    Getting_By
    • #6
    • 8th Jan 18, 4:15 PM
    • #6
    • 8th Jan 18, 4:15 PM
    I see no reason why you should not keep the 123 if you wish - presumably you have the two DDS and you can simply cycle in/out the required monthly input from another account.

    http://www.thisismoney.co.uk/money/article-1583859/Best-savings-rates-General-savings-Internet-branch.html
    Originally posted by xylophone
    Hi.

    Would that be 'legit' so to speak? Just recycle the money in the account so it looks like I am putting 500 in every month?

    I reckon you should spend it all on Bitcoin.....
    Originally posted by NineDeuce
    Haha I've been thinking about that but I am suspicious about the exchanges and what is safe and what is not. I've heard about exchanges going bankrupt . TBH I've missed the boat on that one because back in 2014 I was close to setting up a big mining farm to extract litecoin. Wished I'd done that now

    For a short term cash park I can recommend NS&I Premium bonds.

    I've had my cash in there for about 4 months and I have got about 1% return so far. That's the same as I was getting in a saving account.
    Originally posted by JusinScot
    Yeah I've heard of premium bonds. NS&I Premium bonds? Is this the government version or a private one? I suppose I could try and keep my 123 account by recycling the money and put everything above 20k limit into premium bonds for a while and see if I get anything back. How often can you win the prizes?
    • ColdIron
    • By ColdIron 8th Jan 18, 4:26 PM
    • 4,260 Posts
    • 5,392 Thanks
    ColdIron
    • #7
    • 8th Jan 18, 4:26 PM
    • #7
    • 8th Jan 18, 4:26 PM
    Yeah I've heard of premium bonds. NS&I Premium bonds? Is this the government version or a private one?
    Originally posted by Getting_By
    They wouldn't be my first choice especially for small amounts but you can read about them here
    https://www.moneysavingexpert.com/savings/premium-bonds
    • Riff Raff
    • By Riff Raff 8th Jan 18, 5:08 PM
    • 18 Posts
    • 12 Thanks
    Riff Raff
    • #8
    • 8th Jan 18, 5:08 PM
    • #8
    • 8th Jan 18, 5:08 PM
    Cycling money in and out of current accounts to meet monthly paying in requirements is fine.

    My circumstances are different but I'm in a similar situation to you in terms of saving for a house. I feel that I've saved a decent amount, much more I reckon than most of my peers, but as a single person it still just doesn't buy you anything around here. But regardless of how unaffordable houses are to us, I think it's still worth planning your savings around that goal assuming you're in your 20s/30s/40s. Living in hope that I can buy a house within the next 2-5 years, I also don't think I should be risking investments, so I stick to cash savings in spite of the low rates.

    Have you read up on getting a LISA? I'm maxing out my cash LISA allowance and have the rest of my savings in as many high interest current accounts and regular savers as possible within reason (at some point all the paperwork, logins etc for too many different banks just isn't worth your time).

    Anything I can't fit into one of these worthwhile accounts yet (a few 000s for me) sits in bog standard savings account earning 1.xx%. Until you've got most of your money into the better savings accounts, you may get marginally better returns putting the money in NS&I Premium Bonds instead of a savings account. I ditched my PBs recently.

    I can't post any links but you'll find articles about all these topics I've mentioned on this site.
    • Getting_By
    • By Getting_By 8th Jan 18, 5:32 PM
    • 42 Posts
    • 5 Thanks
    Getting_By
    • #9
    • 8th Jan 18, 5:32 PM
    • #9
    • 8th Jan 18, 5:32 PM
    So are NS&I Premium bonds very safe and secure?
    • ColdIron
    • By ColdIron 8th Jan 18, 5:37 PM
    • 4,260 Posts
    • 5,392 Thanks
    ColdIron
    Yes, as safe and secure as it gets. NS&I are an executive branch of HM Treasury and if they fail it's time for beans and bullets
    • capital0ne
    • By capital0ne 8th Jan 18, 6:28 PM
    • 524 Posts
    • 254 Thanks
    capital0ne
    Hi.
    On top of that I have left my position in the civil service due to being bullied.
    Originally posted by Getting_By
    All civil service departments have access to Harassment Officer - did you not speak to one?
    • Getting_By
    • By Getting_By 9th Jan 18, 6:25 PM
    • 42 Posts
    • 5 Thanks
    Getting_By
    All civil service departments have access to Harassment Officer - did you not speak to one?
    Originally posted by capital0ne
    I wish it was as easy as that. I'm afraid many civil service departments just don't want to grasp the nettle and sort out bullying, especially when a manager is the perpetrator. It's been like this for years and will never change.
    • ValiantSon
    • By ValiantSon 9th Jan 18, 9:39 PM
    • 2,013 Posts
    • 1,863 Thanks
    ValiantSon
    I reckon you should spend it all on Bitcoin.....
    Originally posted by NineDeuce
    I'm sure that was meant as a joke and the OP is unlikely to follow the suggestion because I'm sure that they are a lot more sensible than that, but there is a risk when making such comments on a forum (without heavily signposting it as a joke) that someone will follow it up.
    • ValiantSon
    • By ValiantSon 9th Jan 18, 9:43 PM
    • 2,013 Posts
    • 1,863 Thanks
    ValiantSon
    So are NS&I Premium bonds very safe and secure?
    Originally posted by Getting_By
    Very safe and very secure, but also not likely to deliver very good returns. There are better options available in savings accounts and fixed rate bonds which are also secure thanks to FSCS protection.

    Like ColdIron, I think premium bonds are a massive waste of time for the overwhelming majority and for the minority it was only a matter of pure luck that it wasn't a waste of time for them too.
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