[Xplosiv166]

Not a financial forum, but any recommendations on locations for storing an emergency fund?

Currently have it with Marcus but at 1% it is not doing so well, was considering premium bonds as a safe-ish place to move it and have and may get the same if not more interest

Ideally i need to move my house deposit as well, which is also sitting at 1%

[sspade]

Shoebox in the attic. Safest location during these uncertain times.

[Kendo67]

Originally Posted by sspade

Shoebox in the attic. Safest location during these uncertain times.

+1 , a bird in the hand etc.

K

[Goneinsixtyseconds]

Helpful guys. If anyone has any constructive advice I’d be interested too.

[robbiep]

I'd say you've already thought of one of the best ideas - premium bonds. Safe, tax-free winnings, and it averages out as the equivalent of at vaguely reasonable interest rate

[MashinBenzin]

1% actually not too bad, Goldman's are buying UK retail customers so their rates tend to be market leaders (I haven't checked).

You mention house deposit as well, if appropriate make sure you spread across lenders as protection limit is £85k per depositor per institution. It's not impossible that the incoming crunch will take care of some players in the market, so definitely a time to play absolutely safe. Goldman Sachs are extremely unlikely to fail of course!

Premium bonds a good shout.

Your risk free options really are limited, I wouldn't worry about it for a year or two as there is almost certainly nothing out there that's going to make a big difference. Just checked out a couple of high st institutions for fixed rate bonds and you're between 0.45 to 0.7%

[Bryans69]

Premium bonds for me for anything that I might need access to within the next couple of years.

I think it was Martin Lewis that had a comparison recently, and whilst over the period of a year on somethink like £30k, you could get a a couple of hundred more pounds interest in a bank than the likely winnings on the same, with premium bonds there is always that chance, no matter how small

[AlanQS]

With a decent amount of luck and a good chunk of premium bonds (say 25,000) you could earn about a 1½% to 1¾% return on premium bonds as I have over the last couple of years.

Cash is instantly available, safe, and there is the fun that you might actually win big (by that I mean £5k to £25k, no point wishing for the moon).

[ZedsRedBaby]

There's very little around in instant access savings at the moment. I've recently ditched Paragon after they dropped the rate, switched it all to RCI at 1.2% and they promptly dropped to 1.04%. It does at least still beat the current CPI measure of inflation which is 0.8%.

I think NS&I are currently the highest return at 1.16% but I'm not going to bother switching again as they'll probably drop before long.

Premium Bonds are worth considering, but bear in mind most people don't win anything.

[Xplosiv166]

I think i will go for Premium Bonds for a year, aiming for 1 years worth of after tax salary as an emergency fund.

Maybe considered overkill but at worst i will have a lump of money to stick into the stock market if indeed it does have a massive correction. As it is not clear just how bad the economy is going to get, but i am going with very bad for now.

[JustChris]

Originally Posted by Xplosiv166

I think i will go for Premium Bonds for a year, aiming for 1 years worth of after tax salary as an emergency fund.

Maybe considered overkill but at worst i will have a lump of money to stick into the stock market if indeed it does have a massive correction. As it is not clear just how bad the economy is going to get, but i am going with very bad for now.

Just bear in mind it's 2 months until eligible for draws so it's a 10 month investment really.

We both have PB and have had modest wins more months than not.

Like others have said "got to be in it to win it"