Best savings account?

[200sols]

With no other earnings you can make significantly more in interest before paying tax, you have the full personal allowance, the full starting rate for savings and the full personal savings allowance. It's about £18500 in such a scenario before needing to pay tax.

 

[DJMK4]

This seems to be your issue, you want a fixed rate but don't want to commit to locking it away. You need to pick one or the other. If you want immediate access to your money then you need to accept not getting the best rate.

Considering what's going on in the US economy, it sounds like they're about to anchor on the brakes as the high interest is stifling their economy, so I don't see interest rates going back up over 5% as the UK will likely follow suit.

Unless you're needing your 40k imminently, I would look at locking it away at the best fixed rate that's available today.

I would like to lock money away, but at the moment, i need access to funds

Maybe in a short while ill be able to lock some away, but i need to make a big purchase soon.

I guess i could use funds from my premium bonds instead, but even though the spread out return on bonds isnt super, i still have good months, IE last month on the bonds i won £200, this month on the bonds I won £500, so £700 over 2 months isnt too bad).

With the ISA, i have just reached my 2nd tax year limit. Any more funds i save will now be part used and part going in to a normal savings account, however I dont really want to save over the £500 interest earning on that as I am a higher rate tax payer.


I wont need my whole £40k no, but I will need some of it.



At the moment its probably not worth locking it away to make approx £96-£100 a year difference.

 

[DJMK4]

Is trading 212 keeping or lowering the current 5.2% rate? are they lowering it like everyone else is ?


Looking at current fixed rate ISA's there isnt much offering any rates over 4.75% that would even temp me at locking in.