Short term investment

[Bearsflair]

We've just remortgaged an investment property we own ahead of buying a bigger main home.

We haven't found the home yet so the money is now sitting in our main bank account. Over £200k.

Should we leave it where it is? Or can anyone recommend a short term account where it might gain some interest? I can see it being there for 6 months max before we find a home.

I'm also tempted to split the money between a couple of accounts to keep it under the £85k FSA protected limit.

We want a low risk account and already have both maxed out our ISA allowance for this year. We have been saving for a long time to get to this point! And also realise we're very lucky to be in this position.

Any account recommendations would be gratefully received.

Have you looked at NS&I yet? As it's government backed there'd be no need to mess about opening different accounts to be under £85k limit for FSCS protection.

Thank you @sunseed. I wasn't aware NS&I didn't have a limit. That's really useful to know.

I thought there was a £50k limit?

NS & I has a limit if £50k per person so can split between yourself and buy on behalf of your kids, if you have any

All the NS&I rates are about to plummet though, on Nov 24th, I think. I had savings in Income Bonds, the rate goes from something respectable (in these times) to some tiny amount.

I would put £50k in Premium Bonds. Average return 1.3% and you might get really lucky.

@RainingBatsAndFrogs

All the NS&I rates are about to plummet though, on Nov 24th, I think. I had savings in Income Bonds, the rate goes from something respectable (in these times) to some tiny amount.

I would put £50k in Premium Bonds. Average return 1.3% and you might get really lucky.

I thought NS&I was Premium Bonds?

Smallgoon

Sorry, yes , NS&I savings and bond rates are about to plummet.

So are Premium Bond winnings, in terms of the % given as prizes, but still better than most short term savings accounts.

NS&I went to an insulting 0.01% yesterday.

there are a couple of easy access paying around 0.5%, try this site (yes, Daily Mail backed but the best summary) Below real inflation but that's been the case for years.

www.thisismoney.co.uk/money/article-1583859/Best-savings-rates-General-savings-Internet-branch.html

get it split under the protection limit pronto. As most banks limit online transfers to £10k a day this will take time, so get moving.