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Where to put savings?

Discussion in 'General Discussion' started by ChrisD., Feb 19, 2020.

  1. ChrisD.

    Capodecina

    Joined: Sep 20, 2006

    Posts: 23,944

    I've recently come into some money and I'm wanting to save it for about a year when I'll likely be moving home. I was thinking about premium bonds but after reading up this seems not to be recommended. Would I be best off putting as much as I can in an ISA (£20k I believe per tax year) and then the rest in something like Saga savings account?

    I'm no where near savvy or switched on enough to invest it in bitcoin or stocks etc, I just want a risk free savings account where I'll make some interest on it over the next 12 months or so.
     
  2. rickjames

    Mobster

    Joined: Oct 27, 2011

    Posts: 3,514

    Location: London

    Really depends on what you want to do. I'd suggest going to UKPersonalFinance on Reddit, they have a flowchart which is pretty neat
     
  3. MrRockliffe

    Mobster

    Joined: Apr 14, 2014

    Posts: 2,928

    Location: Loughborough

    It honestly depends how much money you're talking about.

    If it's a fairly significant amount (it looks to be at least 20k), then there are plenty of companies that will move it into a investment portfolio of theirs for you. Some of the more agile companies have the added benefit of using your money to invest in sustainable solutions, so you know that any returns you're getting are coming from a better source.
     
  4. jsmoke

    Sgarrista

    Joined: Jun 17, 2012

    Posts: 8,551

    Put them in my bank account, I'll look after them for you.
     
  5. dl8860

    Mobster

    Joined: Jul 25, 2010

    Posts: 2,862

    Location: Surrey

  6. Glanza

    Capodecina

    Joined: Mar 13, 2007

    Posts: 10,131

    Location: South Yorkshire

    Marcus account if you need access within a year, they have just lowered the interest rate but that won't matter in your circumstances.
     
  7. [FnG]magnolia

    Pancake

    Joined: Aug 29, 2007

    Posts: 26,294

    Location: Bees.

    There's always money in the banana stand, Michael.
     
  8. DB_SamX

    Sgarrista

    Joined: Feb 17, 2006

    Posts: 7,815

    Location: Winchester

  9. keylion

    Gangster

    Joined: May 17, 2003

    Posts: 386

    Location: Lancashire

    At least your ISA allowance will renew in about six weeks so you'll be able to stash another £20k in it.
     
  10. Pawnless Endgame

    Capodecina

    Joined: May 10, 2004

    Posts: 10,727

    Location: Sunny Stafford

    Put it under your mattress.

    iSAs are like 0.000000000000000000000000000001% these days :p
     
  11. easyrider

    Caporegime

    Joined: Dec 24, 2005

    Posts: 39,069

    Location: Autonomy

    Premium Bonds...I’ve won £250 in the past 6 months :p
     
  12. flipface

    Associate

    Joined: Jan 13, 2013

    Posts: 86

    Just pop it through my letterbox.
     
  13. Pawnless Endgame

    Capodecina

    Joined: May 10, 2004

    Posts: 10,727

    Location: Sunny Stafford

    Brown money!
     
  14. Haze

    Mobster

    Joined: Jan 10, 2007

    Posts: 3,116

    You will get shot down for suggesting premium bonds, like I did in another thread like this, I appreciate its a bit of a lottery, but I have earnt more money in the last 3 years, than any savings account will pay
     
  15. Terminal_Boy

    Sgarrista

    Joined: Apr 13, 2013

    Posts: 7,644

    Location: La France

    I know several retired expats that have the maximum £30k of Premium Bonds and they all claim that their yearly winnings is 3-4 times what they’d get in interest from any savings plan.
     
  16. The_Arbiter

    Gangster

    Joined: Jul 2, 2019

    Posts: 277

    Another premium bonds pro person here, wish i'd done it sooner. Sure there's no guarantees, but i'm making more than a savings account, plus have the advantage of winning big. PB is for those who don't expect a return, and let's be fair, anyone looking to make a good return on safe investment these days won't find it. Even locking in cash is pretty poor right now.
     
  17. dodg3rman

    Hitman

    Joined: Apr 10, 2013

    Posts: 542

    Location: Norwich

    Small point but it's £50k these days for the max , a nice round £100k for couples

    My returns through PB are just touching 1.5% over nearly 3 years so i'd say that was a pretty good return tax free compared to savings rates
     
  18. Em3bbs

    Mobster

    Joined: Dec 26, 2011

    Posts: 4,925

    Location: City of London

  19. SeatIbiza

    Wise Guy

    Joined: Jan 21, 2008

    Posts: 1,102

    Location: Cotswolds

    Well, because the odds of winning are low anyway, it probably won;t have that much of an effect on an indivdual basis. Someone has to win the £1m, £50k, £10k etc. prizes and even the lower of the big prizes is far bigger than any savings account would return.

    It's a "risk" but, in reality, you're risking peanuts. 50k at 1.3% is only £650 a year and likely you'll be near that on the PB. Either way, rates today (unless you lock in) are lower than inflation so your money is depreciating in savings accounts anyway, so may as well take the "risk" and try win a big prize!

    I don't anymore, but when I had the full £50k, I won something most months. I spent all that and have £1k now and never win! haha!
     
  20. Mercenary Keyboard Warrior

    Capodecina

    Joined: Aug 4, 2007

    Posts: 10,262

    Location: Wilds of suffolk

    Agree on the PB thing, and I have been 100% against them until recently.

    Government backed, practically instant access, likely returns around 1.3% , although its likely to vary, particularly if you have lower amounts.

    Dont invest your money if you will need it, too much volatility on the markets.
    Save it, and right now PBs do seem a reasonable place.

    As with everything it changes over time.