Any Thoughts

[weecalf]

Where would be the best risk free place to lodge 10000 to 15000 for a good rate and easy access .Dont know enough to go into stock and shares just something straight forward .Any thoughts .

[Tilly2]

Have a look at Ratesetter, weecalf.

[weecalf]

Looked at it 8.9 for 5 years

[Tilly2]

OK.

[fiction-factory]

Look at MSE. Santander has reduced from 3% to 1% but Martin Lewis still thinks it's a good deal compared to the market. You can put £3000 in Tesco at 3% .
I am not sure what is meant by 8.9 for 5 years.Is that a total return of 8.9% after 5 years- ie around 1.75% pa compounded?

[New Judge]

Santander 123 Current Account is actually 1.5%. (£20k maximum, two direct debits required and £500 per month credit, though this can be from another account and immediately transferred out).

[woofgang]

Have you looked at investment funds? there is a book worth reading, although its old now, called Fundology. Risk free and good rate aren’t natural bedfellows but I have done Ok with M and G

[fiction-factory]

yes, sorry NJ- I meant to type 1.5% for the 123 account.

[fiction-factory]

The need for easy access may rule out an investment bond.
If you want easy access you can spread money around several accounts that pay around 3% and some regular savers pay a bit more but most have limits so you would need 5-6 accounts.

[mikey4444]

Go around all the Banks and Building Societies and check what they have on offer.

If you want easy access, then a "notice" account is probably not for you

( this is where you have to give so much notice before taking your money out...if you want instant access, than you will lose the interest on the period of notice that you are not giving )

Having said that, interest rates are very, very low at present, so the loss of interest on a few pounds will not make much difference either way.

Typical interest rates are in the order of less than 0.5 %. Use up your Cash ISA allowance first. Here is what Santander is offering at the moment :::

http://www.santander.co.uk/uk/isas/eisa

As you can see, the interest on such a modest sum as you have to deposit, is really not worth very much, but your capital will be safe, as long as inflation stays as low as it is at present.

[tamborine]

Premium bonds?

https://www.lovemoney.com/guides/54876/premium-bonds-how-to-cash-them-in-and-withdraw-your-money

[fiction-factory]

^ or just go through the Martin Lewis/MSE site
http://www.moneysavingexpert.com/savings/savings-accounts-best-interest

[fiction-factory]

Sorry tambo- mine was following up Mikey's post

[mikey4444]

Premium Bonds are not an investment, only a gamble.

They pay no interest at all, and if you haven't won any prizes, and there is no guarantee whatsoever that you will, then your capital shrinks with the effect of inflation every year. Even with an inflation rate of 1%, £100 will be worth only £99 at the end of the year.

If you want to gamble, and can afford to do so, then go ahead, but if this the some total of your life savings, then stick to a Bank or BS, where you will get some interest, albeit not very much.

[mikey4444]

FF...some of those rates on Martin Lewis's site look pretty good, but read the small print !

Most of them are only paying just 1%, or slightly over.

[tamborine]

Bank investments @ such low interest devalue money likewise. Whereas big block PBs often give regular winnings & can be withdrawn to update, according to winnings.

[hc4361]

Premium bonds aren't much of a gamble when interest rates are so low. I win most months

[david small]

NS&I are paying 1% interest No penalty for withdrawal.

[mikey4444]

Tambo....PB's have no guarantee of winning whatsoever.

Its true that if you have a large amount in them, then you have a better chance of winning, but still no guarantee. I wish people would understand that !

[tamborine]

PB winnings are tax free whereas bank interest is not

[fiction-factory]

Not totally sure what you mean, Mikey. Yes many are paying around 1.5% but they are well above the 0.5% you mentioned. You can get 5% on up to £2500 with nationwide (yes for 12 months only) , there are regular savers paying 2-3%, Tesco are paying 3%, Lloyds pay 4%, BoS pay 3%- etc, but they are limited to certain balances (eg £3000 at tesco). weecalf can get around 3% overall by spreading his money around- but may need to meet certain criteria such as minimum payments or minimum number of DDs. It's not easy though and you could argue it's not worth the hassle for annual total interest on £10000 of around £300 pa