What's the best savings place for about £200K? It's currently in one bank, LloydsTsb, but we're only covered for £50,000 (almost all money in my name for tax reaons) so i thought I ought to spread it around a bit. WHich places are best? I prefer low risk.
I am a regualr but i've name-changed as i feel that we've had some recent financial luck at a time when the news is so desperate. Thanks.
If you split the £200K into 5 banks you will potentially be missing out on lots of interest for no reason at all. Gov has said no UK saver will lose money and whilst guarantee is £50K in effect you don't really need to worry.
PS Swedes you are wrong LTSB and HBOS are separate, as are RBS and NatWest. The difference is whether they are registered separately not whether they are linked. The FSA website will confirm this.
You miss out on lots of interest because most banks pay tiered interest eg the more you have the more you earn. Difference between 50K and 200K can be up to 2% AER so you can get 50K(x4) @ 3% or 200K at 5%.
I am going to get boring now. 7% is only for six months and you can neither withdraw or add to the money! As you can probably guess I work in the industry and have had my life taken over in the last couple of weeks trying to reassure clients, staff and customers on the is my money safe issue Oh well at least bank charges gone quiet.