lialwarrior
Registered User
- Messages
- 30
This is not true. Drip feeding from a 5.22% account into a 7% account will earn more than just leaving the money on deposit at 5.22%. You are not comparing like with like when you compare the total annual return on 12 monthly drip feeding lodgements against the same money on deposit for 12 months.I think you will find that if you drip feed into the 7+% accs, from an account that pays more than 3.4% pa you will, in effect be losing money or at best making no gain. I calculated that t/f to Reg savings accs. at 7% equated to annual rate of 3.32%. Rabo and Northern Rock will give more than that.
Slim
I think you will find that if you drip feed into the 7+% accs, from an account that pays more than 3.4% pa you will, in effect be losing money or at best making no gain. I calculated that t/f to Reg savings accs. at 7% equated to annual rate of 3.32%. Rabo and Northern Rock will give more than that.
Slim
You put it much more succinctly than I did!Your calculation only makes sense if you took all your money out of the deposit account at the start of the year and then drip fed it.
So a mixed bag of the highest rate demand and term lump sum and regular saver accounts on offer with suitable terms & conditions sounds like the best option here.Thanks Clubman for the reply. I am planning on using these funds towards a selfbuild house, so I am not in a position to invest for the longterm as I will need access to the money in about 18 months time.
No - it was created by this guy:but isn't this a calculator generated by AAM and not the Financial Regulator?
There is already a link to the calculator page here:Perhaps the link should be made as a sticky at the top of the Savings and Investment Forum as there has been a lot of posts regarding these calculations.
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