Savings Accounts - HotUKDeals
We use cookie files to improve site functionality and personalisation. By continuing to use HUKD, you accept our cookie and privacy policy.
Get the HUKD app free at Google Play

Search Error

An error occurred when searching, please try again!

Login / Sign UpSubmit

Savings Accounts

cbryanp Avatar
8y, 2w agoPosted 8 years, 2 weeks ago
Can anyone offer help or point me in the right direction for a good explanation of saving accounts ( I know google is my friend - but its hard to know what is good advice and what is not when you have no clue). I was looking at the Alliance & Leicester eSaver

http://www.alliance-leicester.co.uk/savings/esaver.aspx

It says Earn 6.30% gross p.a./AER variable (6.13% gross monthly), if you don't make a withdrawal. Could someone explain how this would work if I had say £5000 sitting in the account without withdrawing. Its paid monthly, so is it just say 6.3% of £5000=315 per annum so 315/12 = £26.25 per month?

Any help will be appreciated and repped :D
cbryanp Avatar
8y, 2w agoPosted 8 years, 2 weeks ago
Options

All Comments

(9) Jump to unreadPost a comment
Comments/page:
banned#1
Do you have an ISA already? They are much better + also instant access. Are you already an A&L Account holder? Their current account is much the better option for the first 2500 of your savings.
banned#2
Don't forget the tax in your savings calculations - the big advantage of an ISA is no tax payable.
#3
Dont have an ISA no. Are they not risky? Im getting an account with A&L at the beginning of Dec once Im on the electoral roll at my new address.

I'm a student so would I be exempt from tax?
#4
I'd look on the moneysavingexpert.com, there is lots of advice there
banned 1 Like #5
cbryanp
Dont have an ISA no. Are they not risky? Im getting an account with A&L at the beginning of Dec once Im on the electoral roll at my new address.

I'm a student so would I be exempt from tax?


Nobody is exempt from tax. If you earn above the threshold (4k? 5k? changed recently) you will pay tax. Cash ISAs are basically bank accounts, and have the same risk. Look on MSE - You probably want to get an ISA for this tax year to use your allowance for when you ARE working. It depends on your personal circumstance so heavily you might not want to talk to a stranger about it.

ISA - http://www.moneysavingexpert.com/savings/best-cash-isa
http://www.moneysavingexpert.com/banking/Student-bank-account

If you are a student get a 0% overdraft and put that money into a cash ISA - pocket the £30 or so you'll make in a year on £1000.
#6
Ok thanks stevenpcurtis red added for your help
#7
Don't forget this is variable rate, so the chance of you getting 6.3% this time next year......there's a pig just flown by my window....

P.S. last week AK Bank was dojng a deposit account for 1 year at 6%.

Cheers
#8
Tesco internet saver looks good - no need to go for ISA if you can register any account in name of non-taxpayer and submit form R85...........................

MoneySavingExpert best for this type of question.............
banned#9
RogerN;3587082
Tesco internet saver looks good - no need to go for ISA if you can register any account in name of non-taxpayer and submit form R85...........................

MoneySavingExpert best for this type of question.............

yeah but the big advantage of an isa is that you can build up a nice tax free nest egg for later years when you start working

Post a Comment

You don't need an account to leave a comment. Just enter your email address. We'll keep it private.

...OR log in with your social account

...OR comment using your social account

Thanks for your comment! Keep it up!
We just need to have a quick look and it will be live soon.
The community is happy to hear your opinion! Keep contributing!