Savings.

sugarandspice

sugarandspice

Active Member
Right for the first time in my life im going to have proper savings accounts! But i need some advice! (I have had savings accounts before but never in my name......for good reason too!)

Anyway, how do they work exactly in terms of whats the difference between a bank and building society account? and can anyone recommend where i should go for one?!

I need two accounts, one which i need to be able to have acess to, but it doesnt have to be instant, for a reasonble sum of money, and a long term account for a larger sum of money which i dont plan on touching for a while, people have mentioned ISA's but i dont have a clue how they work?!!

Any advice greatly recieved!

Kelly x
 
Liz Courts

Liz Courts

Active Member
I have an instant access ISA account with Nationwide Building Society. You can deposit up to £3000 per year and withdraw from it anytime if needed. And it had the best interest rate when I opened it a few years ago!

I am looking into opening another savings account in the near future though - I think I'm looking for "a larger sum of money which I dont plan on touching for a while" account...let me know if you find somthing!! :confused:
 
T

TIMBONE

Active Member
For instant access savings I would recommend an instant access ISA account at any bank or buiding society (they are all basically the same), you will need your NI no. for ISA accounts by the way. For long term investment, if you have a largish sum of money to invest, then I would recommend a long term ISA account. If you want an account with good interest, which you can put money into on a regular basis, (as little as £1), then try ingdirect.co uk
 
glitzy

glitzy

Member
ISA's are a government product to encourage savings, you are alowed to deposit up to 3k per tax year without incurring any tax on your interest. This would be your first port of call for a savings account if you don't have any other savings in place...most banking institutions will offer between 4-5 % interest ...But you need to be careful of the restrictions each have in place, some may be instant access, some may not.

Other than that...if you want to tie your money up...you are best approachng a financial advisor...all institutions will have one...or you could approach an independent financial advisor...but be aware of the fact they may be working on a commission basis.
 
brassneck

brassneck

Active Member
Try a direct savings account if you use the internet a lot ... you may get a better rate of interest. ('direct' accounts are only accessible using online or telephone banking). If you choose the same bank as you normally use, you can transfer usually to your debit account immediately!
 
K

Kayleigh

Member
Kelly if you PM me your address i'll send you a copy of Halifax's interest rates on Fixed and Variable accounts. (Seeing as i work there!)
 
Bayerd

Bayerd

Active Member
If you've got anywhere more than about £5000 that you don't need to touch for a while, I'd see a local Independent Financial Adviser, who'll look at your whole situation and advise on what's best for you.
 
Laserbeam bass

Laserbeam bass

Active Member
Bayerd said:
If you've got anywhere more than about £5000 that you don't need to touch for a while, I'd see a local Independent Financial Adviser, who'll look at your whole situation and advise on what's best for you.
Click to expand...

Beware of Independemt Finanacial Advisers, as they are usually tied to one company or another.


Simplest thing to do is go on teletext, or get a decent paper on a Saturday (The Times, Telegraph,etc,), and this will tell all.
 
N

Nanny Ogg

Member
If your liable to pay tax, then make sure you have an ISA of some sort. Also if it seems too good to be true it probably is. As well as savings (if you've not already got one) you need to look at Pension. I think that unforetunately by time alot of us come to retire there will be no State help. The country can't afford it as the ageing population increases.
 
Bayerd

Bayerd

Active Member
Laserbeam bass said:
Beware of Independemt Finanacial Advisers, as they are usually tied to one company or another.


Simplest thing to do is go on teletext, or get a decent paper on a Saturday (The Times, Telegraph,etc,), and this will tell all.
Click to expand...

Erm no, a good IFA will be independent, sure they'll use some companies more than others, sometimes due to comission that is paid, and who wouldn't? But what they all legally have to do is provide a reason why letter to justify why they are advising a certain course of action, and they have to declare how much they receive for the sale of any product.
 
K

ky_32

New Member
Kayleigh said:
Yes i could post the link but you dont get all the recent updated ones on there... not every account anyway
Click to expand...

Surely a bank such as Halifax can keep their site up to date :cool: ?????
 
tinytimp

tinytimp

Member
I'd agree with the majority here and recommend an ISA, especially if you've got a larger sum to invest. In my experience building societies give a slightly better interest rate.

I've been lucky and have been able to keep my junior savings account with my building society (Britannia), and can do until age 23. Something to do with loyal custom or something. The interest on this is comparable to an ISA too, and the tax man can't touch it yet because it's still a child's one! Although now I'm finished uni and working in the big wide world, I've decided to be a proper grown up and start a savings account to eventually put a deposit on a house! I've decided to go for a Regular Saver ISA, which might be a good option for your long term plans - if you agree to pay in the same amount every month (and in my case only make 1 withdrawal a year) then the interest rate is much better.

Some people say then that investing is a better option than a savings account for larger amounts, but I'm too scared to do that kind of thing! You could make an appontment with a Financial Adviser, your bank/building society should have one that you can see for free - but do make sure you're just discussing various types of accounts etc. and don't let them sell you anything straight away without looking round for options!
 
brassneck

brassneck

Active Member
Internet savings accounts are well worth a look at too. As long as you control it from an online account, the interest rates are usually quite good compared to other 'instant access' accounts.
 
sugarandspice

sugarandspice

Active Member
those were the two i compared and found halifax to be the best, set up internet banking with them too which is proving to be very handy.
 
TuTuKu

TuTuKu

Active Member
I have a Bradford and Bingley Esavings account, which had a v good rate of interest (5.35% i think) and the money is instantly accessible... well online at any rate - I don't think they have a huge number of high street branches. I can easily transfer money between my current account (with natwest) and the savings accout online. As I'm a non-working student, I don't pay tax.. so it's the best option for me!
 
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