# 250k - best savings option



## Pat123 (20 Mar 2009)

A friend of mine will receive a cheque next week and after paying tax, he will have about 250,000 euro to lodge to his bank account.
He doesn't want to invest this, he just wants to get a reasonable return on his money for 12 months or so; he plans to buy a house next year.
I told him that it might be best to spread it around, say 50k in an Investec Account, 50k in the post office, etc. but I'm no expert in this.
Can anybody give some recommendations ?

Thanks in advance.


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## Lightning (22 Mar 2009)

The best rate for a one year term deposit is 4.90% with Anglo. Your deposit is 100% state guaranteed.

See http://www.askaboutmoney.com/showthread.php?t=101813


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## Pat123 (23 Mar 2009)

Thanks Fungus. However, he doesn't want his money tied up in just one spot. He wants to put it in at least 3 different institutions. 
Any ideas ?


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## tweety07 (23 Mar 2009)

Lucky him in the current climate!


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## Lightning (23 Mar 2009)

Pat123 said:


> Thanks Fungus. However, he doesn't want his money tied up in just one spot. He wants to put it in at least 3 different institutions.
> Any ideas ?



Anglo - 4.90% -100,000 EUR - 1 year TD
Irish Nationwide - 4.65% - 100,000 EUR - 1 year TD
Investec - 4.50% - 50,000 EUR - 1 year TD 

Ensure you get the above rates by *acting fast*. The ECB are likely to cut by another 50 BPS next week.


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## Pat123 (24 Mar 2009)

Thanks Fungus, much appreciated.


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## theresa1 (25 Mar 2009)

I have aprox. €185,000 in anglo irish bank 30 day notice account at 2.45%. I am thinking of moving it to their one year fixed at 4.90%. Apart from giving 30 days notice anybody know could i just do this over the phone or will I have to sign form's etc.


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## Lightning (26 Mar 2009)

theresa1 said:


> I have aprox. €185,000 in anglo irish bank 30 day notice account at 2.45%. I am thinking of moving it to their one year fixed at 4.90%. Apart from giving 30 days notice anybody know could i just do this over the phone or will I have to sign form's etc.



Good move. 

I think you can do it by email via an authorised address.


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## theresa1 (26 Mar 2009)

Authorised e-mail address? I'm also thinking of An Post saving certificates.


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## Lightning (26 Mar 2009)

theresa1 said:


> Authorised e-mail address? .



When you complete your account opening form with Anglo you can specify an email address that can be used for wire instructions.


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## oldtimer (27 Mar 2009)

If he wants to lock away some of the lump sum for a long period saving certificates are certainly the best option. If left for the full term (5.5 years) they give a return of 21% over the period. They are state guaranteed and DIRT free. Even if an emergency occurs over the period they can be withdrawn at any time.


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## Joody1 (27 Mar 2009)

oldtimer said:


> If he wants to lock away some of the lump sum for a long period saving certificates are certainly the best option. If left for the full term (5.5 years) they give a return of 21% over the period. They are state guaranteed and DIRT free. Even if an emergency occurs over the period they can be withdrawn at any time.



Is the BoI safe to deposit savings with, I note that they are not mentioned on here as any of banks, institutions to deposit/invest saving in.


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## george.shaw (27 Mar 2009)

If the country goes bankrupt and the IMF comes in then the "government guarantee" for deposits in Irish financial institutions will be about as useful as tits on a bull.

Please read up on what happened to savers in Argentina - there were severe restrictions on amounts that could be withdrawn (sometimes as low as $100 per week which is not much use if you need your savings for life contingencies, medical or other emergencies) to prevent capital flight and many Argentinians lost their entire savings.

Diversify.


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## Joody1 (27 Mar 2009)

That does not sound very encouraging george.shaw, should people be looking at removing their money from the BoI??  Also do you think Ireland will go bankrupt and the IMF will move in to help Ireland instead of the ECB


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## george.shaw (27 Mar 2009)

Think people should spread their savings far and wide and definitely, definitely do not have all your life savings in any one financial insitution.

This is suicidal (financially speaking).

It is now about "return of capital" rather than "return on capital" and thus think AIB would be safer Irish bank and put some in credit union and in Post office. 

Rabodirect is only bank with AAA rating offering savings and investments in Ireland and should be looked at as well.

Counter party risk is very high (both with institutions and sovereign governments) and set to remain very high elevated for the foreseeable future.

Spread it far and wide and realise that cash can become trash very quickly when inflation takes off which it is likely to do in the coming months.

Diversify.


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## Joody1 (27 Mar 2009)

george.shaw said:


> Think people should spread their savings far and wide and definitely, definitely do not have all your life savings in any one financial insitution.
> 
> This is suicidal (financially speaking).
> 
> ...



If you are not residing in Ireland than you are limited to opening saving accounts, what saving accounts can you open when not residing in Ireland?

Also the UK economy is not too health either so what can people do with their savings to feel secure.

http://news.bbc.co.uk/1/hi/business/7967597.stm

http://news.bbc.co.uk/1/hi/business/7947766.stm


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## george.shaw (27 Mar 2009)

Suggest you re read my post.

Put simply I suggest people put their savings eggs into as many baskets as possible - safer, stronger Irish banks, post office, credit union and Rabodirect.

Rabo looks safest due to the AAA credit rating but spread it around.

UK is as bad if not worse and sterling will fall very sharply versus the euro (and even more against the Swiss franc and gold) if Brown's idiocy leads them to bankruptcy.


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## Joody1 (28 Mar 2009)

I agree the UK's PM is acting in the best interest of the ordinary saver, and if Brown continues to try and spend his way of this recession then there will be serious consequences.

http://www.youtube.com/watch?v=94lW6Y4tBXs

http://www.youtube.com/watch?v=XDwQEEAZhWM


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## theresa1 (4 May 2009)

About to stick €185,000 into anglo premium demand at 3.8%. I was going to go for a year fixed but you cant add to that. I will be adding 1,000 monthly hopefully. Also looked at post office certs and I just think for now premium be the easiest choice. Any opinion's? I dont want to have load's of a/c's to operate.


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## Lightning (4 May 2009)

You have chosen the best on demand rate for 185,000 EUR. Good move. 

If you need instant access, then you are better off with Anglo than An Post.


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## theresa1 (4 May 2009)

Thanks fungus - think I'll go with Premium Demand. I would actually go 3 or 5 year fixed but not in these current uncertain times. The withdrawal of the government guarantee scheme is going to be interesting -may have to be extended.


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