Any ideas of best place to put a lump sum?

[eyeshade]

My son has a lump sum of around £28K, any ideas on the best way for him to invest this in the present economic climate, any ideas?

[another-view]

Lucky Boy at the 2:30 at Kepmton Park :-)

[mccfluff]

give it to me

[TTG]

3.6k in cash isa....increased to just over 5k next April. I think over 50's has their increase now.

Look for online accounts. they pay best interest. A one or two year bond is also another option but most won't allow you to touch the money without penalty.

[eyeshade]

Thanks TTG will check out online.

[sherminator]

how long does he want to invest for?
can he afford to lose any capital?
does he need access to it?
whats his goal with the money?

[Whoever]

If he's a taxpayer it makes sense to use up his annual cash ISA allowance - £3600 if he's under 50 and £5100 from April 5th next year. For the remainder, if he's not likely to need the money in the foreseeable future, is to look for a 1, 2 or 3 year Fixed Term Savings Bond with one of the Building Societies but he should check first whether money can be withdrawn in an emergency. (Or he could hedge his bets, split the money and take out out more than one bond for differing periods of time). . He should check out the Savings section of Moneysupermarket.com or the savings section on Moneysavingexpert.com. I would discourage him from putting it into the stockmarket at the moment. It's too volatile. Also, depending on his circumstances, if he's got a mortgage and a job, he needs to keep between 3 - 6 months expenses in an Easy Access account in case he's made redundant. If he's got a mortgage, the other option is to use some of the money to reduce his mortgage debt. Without knowing his individual circumstances it is impossible to suggest the best option.

[surfer mike]

Hello eyeshade, why don't you go into the NS&i and look at their new growth bonds, 28k in one of them will pay out £3 and a half grand over three years i think..take a read,

[grasscarp]

And while you are pondering what to do with it put it into Premium Bonds. They are very easy to get out again when you know what you want to do.