Short term home for a substantial sum
Short term home for a substantial sum
Author
Discussion

GT03ROB

Original Poster:

14,033 posts

252 months

Monday 9th March
quotequote all
Basic information:
  • Significant sum - more than £1m less than £2m
  • Half required in around 6-9 months
  • balance unsure
  • For people in late 80’s so no long term investment needs, short term only
  • balance 50% not required for day-to-day living
Thoughts?

Rollin

6,338 posts

276 months

shtu

4,596 posts

177 months

Monday 9th March
quotequote all
Be wary of the FSCS protection limits.

The full balance will be covered for six months at most, https://www.fscs.org.uk/making-a-claim/claims-proc...

LooneyTunes

9,486 posts

189 months

Tuesday 10th March
quotequote all
shtu said:
Be wary of the FSCS protection limits.

The full balance will be covered for six months at most, https://www.fscs.org.uk/making-a-claim/claims-proc...
NS&I will fully protect the sort of balance the OP is talking about, with no time limit.

Mr Overheads

2,635 posts

207 months

Tuesday 10th March
quotequote all
Flagstone - dead easy to open account - then can spread funds over lots of savings accounts all under limit.

Easy fixed term fixed rate products as well as Instant Access.

deggles

725 posts

233 months

Tuesday 10th March
quotequote all
LooneyTunes said:
shtu said:
Be wary of the FSCS protection limits.

The full balance will be covered for six months at most, https://www.fscs.org.uk/making-a-claim/claims-proc...
NS&I will fully protect the sort of balance the OP is talking about, with no time limit.
Seems like the simplest / safest option. Although that 3% return isn't great and will be taxable. For a small amount of added complexity you could look at short term gilts.
https://lategenxer.streamlit.app/Net_Yields

Depending on their income tax rate the additional return on a million quid+ might be worth it.

Blue M5 Comp

864 posts

190 months

Tuesday 10th March
quotequote all
Mr Overheads said:
Flagstone - dead easy to open account - then can spread funds over lots of savings accounts all under limit.

Easy fixed term fixed rate products as well as Instant Access.
I am very happy with Flagstone as well

LooneyTunes

9,486 posts

189 months

Tuesday 10th March
quotequote all
Blue M5 Comp said:
Mr Overheads said:
Flagstone - dead easy to open account - then can spread funds over lots of savings accounts all under limit.

Easy fixed term fixed rate products as well as Instant Access.
I am very happy with Flagstone as well
Deposit aggregators do have some risk inherent in their model, and not necessarily straightforward to get hold of money if they do go pop.

There’s arguably more diligence needed than assuming that, because they say that all deposits are under the FSCS limit, you’re safe.

Arrivalist

3,592 posts

30 months

Tuesday 10th March
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As has been said, NS&I.

dodgydave

98 posts

214 months

Thursday 12th March
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Buy gilt T26A. Matures 22/10/26. Low coupon, most of the uplift comes from Capital Gain, but no CGT.
For a 22% tax payer, nets you 3.6%. I trade with AJ Bell costs a fiver to trade any size.

PoorCarCollector

293 posts

51 months

Thursday 12th March
quotequote all

Another T26A gilt vote + money market fund for when that matures