Best savings account?

Mercenary Keyboard Warrior · 29 Jun 2023 at 14:57

413x said:
Cash as its only short term.
I have a S&S already

Another question.
Do these rates change ad hoc? Never had a cash isa before.

Yes they can change.
Many times the rate is lower but with a first year bonus, its how they hook in the less aware.
It will be fine for you anyway for your shortish term requirement

All savings / variable accounts can be a pain during volatile interest times. They may switch between competitive rates and not at any time.

413x · 29 Jun 2023 at 14:59

Mercenary Keyboard Warrior said:
Yes they can change.
Many times the rate is lower but with a first year bonus, its how they hook in the less aware.
It will be fine for you anyway for your shortish term requirement

All savings / variable accounts can be a pain during volatile interest times. They may switch between competitive rates and not at any time.

I'm not too bothered.
This will start with about 5k in and then build up to 10-13k by next year. So I'm not really bothered if it's 3.5 or 4.5 for example.

Mercenary Keyboard Warrior · 29 Jun 2023 at 15:02

413x said:
I'm not too bothered.
This will start with about 5k in and then build up to 10-13k by next year. So I'm not really bothered if it's 3.5 or 4.5 for example.

Ones that are competitive now will probably remain so

They are often a little slower to adjust rates as they know switching is a bit more painful.

I was looking and surprised you can get a 5 year fixed ISA with ZOPA at 5%
Thats almost tempting.

413x · 29 Jun 2023 at 15:06

Mercenary Keyboard Warrior said:
Ones that are competitive now will probably remain so

They are often a little slower to adjust rates as they know switching is a bit more painful.

I was looking and surprised you can get a 5 year fixed ISA with ZOPA at 5%
Thats almost tempting.

Yeah if you don't need the money for 5 years, you'd hope, in a couple of years time that will be higher than base.

With my 3 year moving plan I don't want to fix for anymore than 3 years on anything at the moment

All my spare cash for 8 months in going into the cash isa (aka van fund)

Mercenary Keyboard Warrior · 29 Jun 2023 at 15:11

413x said:
Yeah if you don't need the money for 5 years, you'd hope, in a couple of years time that will be higher than base.

With my 3 year moving plan I don't want to fix for anymore than 3 years on anything at the moment

All my spare cash for 8 months in going into the cash isa (aka van fund)

My main ISA is S&S anyway, but with cash rates as high as they are I am looking to put at least some in cash this year.
I may however do the vanguard cash hack and drop my cash in there and never invest it.
Its a risk of a variable rate but its not bad from experience.

Dirk Diggler · 29 Jun 2023 at 15:43

SupraWez said:
Just got an email from ii that they have increased the interest paid on cash balances in their ISA and normal trading accounts.

up to 10k 2.25%
10k to 100k 2.5%
over 100K 3.5%

Better than the banks instant access savings accounts.

That's not great, Shawbrook have recently upped my instant access ISA to around 3.75% with minimum £1k balance.

ci_newman · 29 Jun 2023 at 18:18

Mercenary Keyboard Warrior said:
My main ISA is S&S anyway, but with cash rates as high as they are I am looking to put at least some in cash this year.
I may however do the vanguard cash hack and drop my cash in there and never invest it.
Its a risk of a variable rate but its not bad from experience.

The Moneybox cash hack gives a better rate than Vanguard, 3.8% versus 2.25%

Mercenary Keyboard Warrior · 29 Jun 2023 at 19:11

ci_newman said:
The Moneybox cash hack gives a better rate than Vanguard, 3.8% versus 2.25%

Its 2.45% but its kind of irrelevant as I don't have a moneybox anything.

It wouldn't be long term, if I decide to do so it will just be a short term thing as I would go for a proper cash ISA if it was long term.

200sols · 29 Jun 2023 at 19:13

Just buy short dated gilts in the ISA, yields to maturity are above 5%.

Finners · 29 Jun 2023 at 19:34

200sols said:
Just buy short dated gilts in the ISA, yields to maturity are above 5%.

What platform do you use?

200sols · 29 Jun 2023 at 20:24

Finners said:
What platform do you use?

Interactive investor.

Psiko · 29 Jun 2023 at 22:38

200sols said:
Just buy short dated gilts in the ISA, yields to maturity are above 5%.

I was thinking of doing this. Apparently certain issues don’t attract CGT on the capital appreciation so you can invest through a general investment account and only pay tax on the income which is a tiny portion of the total profits. Good if you have used up your tax allowances for the year.

413x · 29 Jun 2023 at 22:53

200sols said:
Just buy short dated gilts in the ISA, yields to maturity are above 5%.

Don't think my S&S ISA had access to these

200sols · 30 Jun 2023 at 06:00

413x said:
Don't think my S&S ISA had access to these

Who you with?

413x · 30 Jun 2023 at 07:43

200sols said:
Who you with?

T212

DJMK4 · 30 Jun 2023 at 08:27

Hi all,

As i will soon be near maxing out NS&I i was looking at somewhere else to save to yeild some decent money back, ideally in a fix term bond either 6 month, 9 month or year, it it worth doing this rather than overpaying on the mortgage then the interest made in savings can be used to overpay on mortgage ? or is it just better to overpay on mortgage?

Who is using one of these 6, 9 month, 12 month fixed bonds accounts, if i say move a small amount from my premium bonds in to fixed rate bond and then start saving in to that would that be good and then i can build it up? what would people recommend at the moment? anyone got any decent stats on how much they are making ?

Raymond Lin · 30 Jun 2023 at 08:35

DJMK4 said:
Hi all,

As i will soon be near maxing out NS&I i was looking at somewhere else to save to yeild some decent money back, ideally in a fix term bond either 6 month, 9 month or year, it it worth doing this rather than overpaying on the mortgage then the interest made in savings can be used to overpay on mortgage ? or is it just better to overpay on mortgage?

Who is using one of these 6, 9 month, 12 month fixed bonds accounts, if i say move a small amount from my premium bonds in to fixed rate bond and then start saving in to that would that be good and then i can build it up? what would people recommend at the moment? anyone got any decent stats on how much they are making ?

It depends on how much your mortgage is, rate and how long it is fixed for, and what rates you will be looking at when it comes to renewal?

If the Mortgage is low and the rates is low then i would personally stick your money up until getting the annual max interest of (i am assuming £500 in your case) into something like Chip for now at least until you know what to do with it and then the rest in an ISA.

200sols · 30 Jun 2023 at 08:56

413x said:
T212

I guess you're out of luck then.

200sols · 30 Jun 2023 at 08:57

DJMK4 said:
if i say move a small amount from my premium bonds in to fixed rate bond and then start saving in to that would that be good and then i can build it up?

You cant add money into a fix rate saver after the initial funding period, usually 14 days.

DJMK4 · 30 Jun 2023 at 09:06

Raymond Lin said:
It depends on how much your mortgage is, rate and how long it is fixed for, and what rates you will be looking at when it comes to renewal?

If the Mortgage is low and the rates is low then i would personally stick your money up until getting the annual max interest of (i am assuming £500 in your case) into something like Chip for now at least until you know what to do with it and then the rest in an ISA.

I still have £135k on the mortgage and im completing on a re-mortgage in 2 days on a 5 year fix @ 3.95%