What would you do - go for the EBS rate or Savings Certs?

[dobrien64]

I have €60,000 savings that I will not need immediate access to for next 6 years. I have two options now:

4.25% AER Gross for 1 year with EBS (it is a special rate as I was with them last year!) and with a view to switching to An Post when it matures.
I'm mindful of possible DIRT rate increase in Budget 2012!

or

5.04% AER Gross equivalent for 5.5 years with An Post Savings Cetificate.
No DIRT so no problem.

What are peoples opinions?

 

[Lightning]

4.25% is a great rate for a 1 year term deposit.

5 years 6 months is a long time to lock your savings away for. Although you do have access during the time, it is subject to interest penalties. You should only choose this, given the interest penalties, if you are reasonably certain that you won't need the cash for 5 years 6 month.

 

[Palerider]

Three year State savings offers a super tax free return and not as long as 5.5 years, would be my option.