What to do with 50k

[jibbe]

Just wondering how to invest or where, a small income from it it would be a bonus
I have no debt, own BTLs so looking for something else

I've got 50k in premium bonds and won £400 in prizes this month. You can withdraw them at any time, and over 12 months it averages out at more than a bank rate of interest.

I have 50,000 with Atom. It’s around 2.9% a month.

Do you need easy access to it? Will you need it within the next 5 years?

Yes I would like access if needed but happy to leave it in for about a year

Tesco are offering a fixed rate bond for a year at 4% if my memory is correct. A little higher for 18 months.

My bank account? I'll let you have easy access!

Buy gold coins with it to protect it from inflation.

Chip currently have a 3.4% easy access account which is a decent rate though if you're prepared to lock the money away for a bit there will be better options.

Paragon have some great easy access and short term fixed savers

Bear in mind you may need to pay tax on the interest - if you’re a higher rate tax payer you can only earn £500pa interest without paying tax which means £50k can’t earn any more than 1% interest if there’s no other savings.

I think it’s £1,000 or £1,500 pa for basic rate taxpayers.

if you don’t have an ISA at all you could put £20k in one now and £20k after 6 April, tax free. Or as PP says, premium bonds.

it won't be that per month, that will be per year

that will be per year not per month

without knowing how old you are and what your other financial circumstances are its impossible to say.

Do you need access to the money in the next 10 years? Are you prepared to risk the capital for potential returns?

Too vague a question.

one option would by £20k today into an S&S isa. New tax year, repeat, and you’ve £10k left to do something else with.

If it was me I’d probably put 25k into a 1 year fixed rate bond (looks like you can get upto 4% interest at mo) and 25k into premium bonds as they are basically instant access.

If I didn’t want to access the money then I’d top up my pension a bit and put 20k into a s&s isa before 5 April and then another 20k after April.

Or a combination of the above, depending on what amounts I thought I’d need at what times.

You mention you would like to possibly access funds in a year, please do not invest in stocks and shares, it is not an approriate inevstment for such a short time frame. Cash is pretty attractive at the moment with no risk. There are some good fixed rate ISAs for a 1 year time period, check out comparisson sights such a money supermarket. If you fund quickly you can do this years ISA allowance (£20,000) and then next years from 6th April. You don't mention how much you are looking to invest. Also could look at NS&I Guarateed income bond or Growth bond.

Thank you everyone I’m thinking of investing in ISAs and debating premium bonds too although the king that is Martin Lewis isn’t that positive about them