Saving Monies

Joe 90 · 04-07-2010, 22:10

I'm considering opening a savings account to put some money away for a car. Now that I'm working, I need to put my money to use and buy my first car!

I think realistically I'd be able to put about £500 a month into it from my expenses. That'll keep from being frivolous (I was considering a macbook pro before the savings account!). And it needs to be one that doesn't have too many restrictions, like not being able to take the money out for x amount of time.

I've only ever had a current account, but I was hoping you guys might offer some advice on the best bank/building society or whoever to give my money to for a few months until I've got myself enough for a motor (then I can start a motors thread for help on that one!!). ta.

lostkat · 04-07-2010, 22:16

http://www.moneysupermarket.com/savings/

Zirax · 04-07-2010, 22:20

^^ pretty much. I still use moneysavingsexpert.com

I would suggest setting up a couple of monthly savers that will drop in a fixed amount in making it painless each month. Even easier with online accounts.

jmc41 · 04-07-2010, 22:40

If you haven't already gotten one you can stick £5.1k into an cash ISA and get the interest tax free. If you are look for a car in say 10 months for £5k that's (imho) the best rate.

If you already have paid into one this year then monthly savers normally give the best rates. Nationwide's is 2% after tax if you put in £500-£1000 per month but it drops drastically if you miss a month or empty if of course.

I use the same site as Zirax suggested sometimes, as it suggests though just be careful. While you can get 4, 5 even 8% deals they can be really restrictive in what they let you do.

I'd personally also go for something UK based, or at least check it's covered by the UK £50k guarantee, don't want to stick it in an icelandic account!

If you are earning I'd also suggest getting some basic sort of e-savings account with your bank. I only ever keep a smallish float in my main account, the rest I put into e-savings. Even if it's only a little, and getting maybe 1% in the current rates is better than the 0.1% you get from regular accounts. Online means it transfers instantly between your own accounts (normally afaik).

Joe 90 · 04-07-2010, 23:14

Yeah i've been looking at moneysavingexpert. I've had a look at the Tesco online saver & egg one that they have listed.
I'll have to have a look at ISAs, don't really know anything about them.

I've not currently got money anywhere other than my HSBC graduate account (although I am trying to switch to a Natwest account following application to them last weekend), as I have to make sure I get that overdraft from my student years paid off.

I'll checkout MoneySupermarket, never used that. thanks.

jmc41 · 05-07-2010, 22:09

Quote:

Originally Posted by Joe 90

Yeah i've been looking at moneysavingexpert. I've had a look at the Tesco online saver & egg one that they have listed.
I'll have to have a look at ISAs, don't really know anything about them.

I've not currently got money anywhere other than my HSBC graduate account (although I am trying to switch to a Natwest account following application to them last weekend), as I have to make sure I get that overdraft from my student years paid off.

I'll checkout MoneySupermarket, never used that. thanks.

Be aware Natwest customer service is based on Ryanairs model.
Nationwide however... £25 after I complained they cut me off at 7pm after 20 minutes on hold and their lines shut - now that is being proactive.

Nationwide also send most post 'premium' postage or something, it's pretty decent overall. Their 2.75 instant ISA (inc 1% bonus) is pretty reasonable (not the best I admit), and you need a current account I think but mine never has ANY money in it for more than 24 hours and it wasn't an issue to get.

Blighter · 04-07-2010, 23:19

The two things I've done to save money (which are working) are:

- Cut any non essential re-accuring monthly outgoings
- Pay all your bills/services/etc when you get paid, then draw out a budget in cash, and just use that cash for anything you buy.

Personally I have historically just pee'd all my spare cash up the wall on expensive meals and non-essentials. I find that by using cash instead of card it makes things a lot easier to budget as you physically see what you are spending.

edit: Sorry, completely misunderstood your original post

Mark · 04-07-2010, 23:20

Egg are good enough if you keep the account in use. They don't like it much if you don't.

That said, my Egg savings account is dormant and they haven't complained yet, but then my Egg credit card isn't.

I'm still spending too much money, but not like it's going out of fashion any more. Only debts I've got left are the mortgage and rather expensive holiday from earlier this year (which I have savings to cover when the interest-free runs out).

Think I'll copy Blighter and use a budget account. Had one set up for ages but never used it properly. £700 worth of furniture this month won't help matters.

Jonny69 · 05-07-2010, 12:10

If you don't need to access your money for a while consider a bond for a year or longer because you get better rates. The caveat is you can't withdraw your money during that time, so if you think you might want it for a car or house deposit then you can't have it.

Watch out for a lot of the interest deals on instant access accounts. They are convenient with a slightly lower interest rate but if you withdraw money they sometimes don't give you any interest for that month or you might sacrifice the whole year interest as a penalty. My money is locked up in one and I can't withdraw it yet, even though I could do with a few K out of it for a significant purchase. I've got to wait or I'll lose the already pathetic amount of interest I am going to get. Look for one with unlimited withdrawals if you think you might need it.

Joe 90 · 05-07-2010, 20:26

Yeah I want to avoid locking it up. I was looking around & there are a few that offer unlimited instant access with no penalties.
The trouble as far as I could see was the requirement to have an account with the various companies already

04-07-2010, 22:10	#1
Joe 90 Absinthe Join Date: Jan 2007 Location: Chester Posts: 2,345	Saving Monies I'm considering opening a savings account to put some money away for a car. Now that I'm working, I need to put my money to use and buy my first car! I think realistically I'd be able to put about £500 a month into it from my expenses. That'll keep from being frivolous (I was considering a macbook pro before the savings account!). And it needs to be one that doesn't have too many restrictions, like not being able to take the money out for x amount of time. I've only ever had a current account, but I was hoping you guys might offer some advice on the best bank/building society or whoever to give my money to for a few months until I've got myself enough for a motor (then I can start a motors thread for help on that one!!). ta. __________________ 360 Blog \| Join GiffGaff \| Twitter

04-07-2010, 22:16	#2
lostkat Good Cat Join Date: Jun 2006 Posts: 5,550	http://www.moneysupermarket.com/savings/ __________________ Oooooh Cecil, what have you done?

04-07-2010, 23:14	#5
Joe 90 Absinthe Join Date: Jan 2007 Location: Chester Posts: 2,345	Yeah i've been looking at moneysavingexpert. I've had a look at the Tesco online saver & egg one that they have listed. I'll have to have a look at ISAs, don't really know anything about them. I've not currently got money anywhere other than my HSBC graduate account (although I am trying to switch to a Natwest account following application to them last weekend), as I have to make sure I get that overdraft from my student years paid off. I'll checkout MoneySupermarket, never used that. thanks. __________________ 360 Blog \| Join GiffGaff \| Twitter Last edited by Joe 90; 04-07-2010 at 23:19.

04-07-2010, 23:19	#7
Blighter Dubious Join Date: Sep 2008 Location: Northampton Posts: 1,571	The two things I've done to save money (which are working) are: - Cut any non essential re-accuring monthly outgoings - Pay all your bills/services/etc when you get paid, then draw out a budget in cash, and just use that cash for anything you buy. Personally I have historically just pee'd all my spare cash up the wall on expensive meals and non-essentials. I find that by using cash instead of card it makes things a lot easier to budget as you physically see what you are spending. edit: Sorry, completely misunderstood your original post __________________ Look at your signature, now back to mine, now back to yours, now back to mine. Sadly, yours isn't mine. But if you stopped writing about other things and made this your signature, yours could be like mine. Look down, back up. Where are you? You're on Boat Drinks, reading the signature your signature could be like. I'm on a computer. My Blog \| More Outdoors \| MSN \| Email \| Call Me Last edited by Blighter; 04-07-2010 at 23:24.

04-07-2010, 23:20	#8
Mark Screaming Orgasm Join Date: Jul 2006 Location: Newbury Posts: 15,194	Egg are good enough if you keep the account in use. They don't like it much if you don't. That said, my Egg savings account is dormant and they haven't complained yet, but then my Egg credit card isn't. I'm still spending too much money, but not like it's going out of fashion any more. Only debts I've got left are the mortgage and rather expensive holiday from earlier this year (which I have savings to cover when the interest-free runs out). Think I'll copy Blighter and use a budget account. Had one set up for ages but never used it properly. £700 worth of furniture this month won't help matters. Last edited by Mark; 04-07-2010 at 23:24.

04-07-2010, 22:20	#3
Zirax Goes up to 11! Join Date: Jul 2006 Posts: 4,577	^^ pretty much. I still use moneysavingsexpert.com I would suggest setting up a couple of monthly savers that will drop in a fixed amount in making it painless each month. Even easier with online accounts.

04-07-2010, 22:40	#4
jmc41 Absinthe Join Date: Mar 2007 Posts: 1,070	If you haven't already gotten one you can stick £5.1k into an cash ISA and get the interest tax free. If you are look for a car in say 10 months for £5k that's (imho) the best rate. If you already have paid into one this year then monthly savers normally give the best rates. Nationwide's is 2% after tax if you put in £500-£1000 per month but it drops drastically if you miss a month or empty if of course. I use the same site as Zirax suggested sometimes, as it suggests though just be careful. While you can get 4, 5 even 8% deals they can be really restrictive in what they let you do. I'd personally also go for something UK based, or at least check it's covered by the UK £50k guarantee, don't want to stick it in an icelandic account! If you are earning I'd also suggest getting some basic sort of e-savings account with your bank. I only ever keep a smallish float in my main account, the rest I put into e-savings. Even if it's only a little, and getting maybe 1% in the current rates is better than the 0.1% you get from regular accounts. Online means it transfers instantly between your own accounts (normally afaik).

05-07-2010, 12:10	#9
Jonny69 Noob Join Date: Oct 2006 Location: Socialist Republik of Kent Posts: 5,032	If you don't need to access your money for a while consider a bond for a year or longer because you get better rates. The caveat is you can't withdraw your money during that time, so if you think you might want it for a car or house deposit then you can't have it. Watch out for a lot of the interest deals on instant access accounts. They are convenient with a slightly lower interest rate but if you withdraw money they sometimes don't give you any interest for that month or you might sacrifice the whole year interest as a penalty. My money is locked up in one and I can't withdraw it yet, even though I could do with a few K out of it for a significant purchase. I've got to wait or I'll lose the already pathetic amount of interest I am going to get. Look for one with unlimited withdrawals if you think you might need it. __________________

05-07-2010, 20:26	#10
Joe 90 Absinthe Join Date: Jan 2007 Location: Chester Posts: 2,345	Yeah I want to avoid locking it up. I was looking around & there are a few that offer unlimited instant access with no penalties. The trouble as far as I could see was the requirement to have an account with the various companies already __________________ 360 Blog \| Join GiffGaff \| Twitter

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