Best place to put 12000

[BatCrapCrazy]

I have inherited 12000 from a grandparent. DP and I have just bought a house so it will be dipped into here and then as we gradually do it up so it needs to be fairly accessible. Where is best to keep it? It's currently sitting in my current account but I don't want it to be eaten away at to the likes of top shop and warehouse online

Open 2 TSB Enhance accounts, put 5k in each. Set up standing orders so £1000 moves between them each month. Pays 3%. Open one of their Classic Plus accounts, put the other 2k in that, set up the standing order to go into and out of that too. That one will pay 5%.

best you can do on this sum. No fees and no direct debits needed. Current accounts so completely accessible.

I would suggest that you take advantage of your tax-free Cash ISA allowance (currently £5,760 but rising to £15,000 on 1st July) and shop around for one that pays a reasonable amount of interest but offers instant access.

fair point, but do the sums - cash ISA rates are very bad and by the time you've factored in your tax free allowance you may (or may not) be better off in another account.

Nevertheless, I don't think too many people are happy to mess around setting up standing orders on multiple accounts, transferring money back and forth each month just to get an extra percent or so... which is what you seem to be suggesting.

...and that is exactly the idea, cogito.

but it is the only way to stay even slightly ahead of inflation at the moment if you have savings. Help to Buy, low base rate and the 'savers are dirt' attitude of the government all conspire against those who are trying to be prudent. They would much rather we pissed it all away on smartphones and big TVs.

with online banking it doesn't take too long, and the standing orders only need to be set up once.