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Best type of savings account?

3 replies

DailyMailReadersAreThick · 17/01/2018 17:43

I have an unexpected £6k which I'd like to save. I would like to use it as a start for a house deposit so a First Time Buyer ISA seems pretty good, but then I started reading about Lifetime ISAs and investments and was soon out of my depth.

What would you do in my position?

Relevant details:

  • I'm not worried about being able to access it at short notice.
  • I have a very good credit rating, though I don't know the exact number at the moment.
  • The only debts I have are my student loan (funnily enough, about £6k) and a monthly lease fee for my car, though I don't think paying either of those off now is the best use of this money?

Does a FTB ISA sound like the best way to go?

OP posts:
extinctspecies · 17/01/2018 17:48

Not an expert but I think you get the same benefits from a Lifetime ISA as a first-time buyer one, but obviously it is more flexible.

DailyMailReadersAreThick · 17/01/2018 21:04

Thanks extinct. I'm confused over accessing LISA funds: the MSE site says they can be used for a house purchase after 12 months but later says you cannot access the funds until you're 60 (www.moneysavingexpert.com/savings/lifetime-ISAs), so I'm a little confused. I'm not concerned about accessing these funds at a moment's notice, but I also don't want to wait 32 years. Grin

OP posts:
extinctspecies · 18/01/2018 08:47

I am getting my son to set up a LISA.

You can access the funds after 12 months if you use them to buy a property for the first time.

Or you can access them as a pension after you are 60.

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