Best Savings account Lump sum

T

tiktok

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Apologies if I've missed a thread on here already, I'm just looking for some savings advice.

After a house sale/paying off mortgage I have a lump sum in excess of €150k that I want to put in a savings account for roughly a six month period (I may want access to the bulk with a month's notice) while I consider my options Re: a new house.

All of the best current deals seem to be for regular savings accounts, but I'm having difficulty finding a good deal for a lump sum of this size.

Any advice would be appreciated.
 
See 'financial best buys' forum. In a nutshell at the moment Northern Rock demand on line account at 4% is the best. Anglo Irish Bank have a 30 day notice account at 3.75%.I don't think you will get better than these at the moment.
 
Tiktok, I am in a similar position that you were in. I will have ~ €200K to invest in a savings account for 6 to 9 months while I look for a new house.
Did you go with Northern Rock?
The 4.15% quoted for their demand online savings account at present looks quite good, but the monthly interest rate is currently 0.25% below the annual iinterest rate of 4.15%. Did you find any banks that can beat 3.9%?
I calculate on a lump sum of €200K the interest from this account will be ~€650 per month, less DIRT, would that be accurate or have I missed anything?
 
You can still get the 4.15%. If you open a NR account, select the annual interest payment and then close the account after 6-9 months you will still get all the interest earned up to that point upon closing the account. Of course you don't have to close it. If you leave the minimum balance, you will still get the interest at the end of the year. Main thing is you don't have to opt for the monthly interest, that's really aimed at those seeking a regular income from a lump sum.
 
Exactly - this is covered several times already and people still get confused into thinking that if they opt for the higer annual rate but close/withdraw before a full year is up then they will lose out. They will not as explained above and in the account terms & conditions. The only reason to opt for the lower monthly rate is if you need the monthly interest as income and even then you might be better off opting for annual interest and just withdrawing capital on a monthly basis.
 
Does anyone have information on First Active's 40 day notice account? What is their current annual interest rate on this account - they seem to increase interest rate with the amount deposited. For deposits over €125,000 they quote a quarterly gross interest rate of 2.7% (CAR 2.8%) but what is this when converted to annual interest rate? Thanks
 
I think their interest is 2.7% if you want it paid quarterly, its 2.8% if paid yearly. It is very poor compared to many others i.e. Northern Rock, Rabodirect, Anglo Irish Bank (21 Day).
 
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