Cash ISA Query...

Elephant08 :P · 6 Jan 2008 at 16:36

Hi there people!

Right then, decided I need to save money for the future just a quick question.

Say if I start with £3k, and I put this in the ISA, and put in £200 a month, will I really have a total of roughly £38k after 10 years. At 6.05%.

This is what the calculator at the bottom of the page on moneysavingexpert says. - Obviously at the rate of 6.05%.

Can I also start it up with £1, (on some i can), and put in the £200 a month for 10 years, and end up with roughly 32k as stated on the calculator. - This just seems to good to be true!

Link to calculator, bottom of the page :
http://www.moneysavingexpert.com/savings/best-cash-isa

Elephant08 :P · 6 Jan 2008 at 16:45

Nice one thank for the response, I understand on the higher regular saver accounts you have to give them a hefty warning/notice before you take it out, however I guess I can live with that. So, £200 a month, for 10 years = £30kish, or £28k with a fixed rate. Not bad at all. - Am I right on this one guys?

Elephant08 :P · 6 Jan 2008 at 20:21

Good stuff, will open one ASAP...sounds great.

That calculator must be a little wrong though, half a million for 40 years

Elephant08 :P · 6 Jan 2008 at 20:32

I would end up starting with £1 tbh, so its gradual.

Starting with £1, £200 a month, = the figures shown above.

Elephant08 :P · 6 Jan 2008 at 20:35

Aaah, sorry didn't make it clear enough.

Do a lot of people here have one? - Best 'almost guaranteed' investment isn't it ?

Elephant08 :P · 6 Jan 2008 at 20:39

But in that case, wouldn't the allowance (£3k) at the moment, be able to go up? Surely?

Elephant08 :P · 6 Jan 2008 at 20:41

markyp23 said:
I have one. It was a lump sum though. It's fine for me as it is totally no hassle and nothing can go wrong.

Over the course of 10 years, I am not sure it is the best though:
Safe - sure
Return - not the best

Depends though, if you're putting 3k every year, or was it just one lot of 3k?

If it is a gradual 3k each year for 10 years, it looks pretty healthy.

Elephant08 :P · 6 Jan 2008 at 20:42

Haircut said:
Probably, it's going up to £3,600 from next tax year anyway.
Still doesn't affect the premise that money in the future is generally worth less than money today.

Means it will be all relative, or am I speaking **** now ? lol :confused:

If inflation rises, obviously it will considerably, then this allowance will go up with an equal % relative to inflation? -

Elephant08 :P · 6 Jan 2008 at 21:18

Share ISA's ...can you put in a regular amount still? - I find this easier you see. So can I still put in £200 a month, and they do the trades or do I have to put some input?

Elephant08 :P · 6 Jan 2008 at 21:22

Have you had some great returns?, so then the next year you put in another 7k, and it adds it to last years return and investment, so you have roughly 15-17k in the second year if all goes fairly well? - I presume these are the MAXI share ISA's

Elephant08 :P · 6 Jan 2008 at 21:29

OOO, I know on this one

Some of the ISA's allow you to transfer the balance to a new bank, may cost however you need to check on your individual ISA.

Elephant08 :P · 6 Jan 2008 at 21:52

You would get more interest if they are in one place ? :s