20K savings

V

VanZan

Registered User
Messages
93
I get 1.5% interest per annum in my local credit union. Over the time I have been with them I have saved 20K. I have never withdrawn from them and add about €400 every month. I don't use any of the other services offered by my credit union

Would I be better served saving somewhere else? I know very little about this sort of thing. I had a look at the best buy sections but its left me a little confused.

Your help would be greatly appreciated. Thanks
 
lol I thought so. Thanks for those links. I'm looking at the Regular Savings section and First Active looks good.
 
OK so I had a look at the best buys section again and its becoming a little clearer. Of my 20K I was going to put 15K into the First Active eSavings and drip feed the other 5K into their regular savers account.

Is this sensible?
 
Less than €15K - read the many existing threads on why this is so.

Otherwise it makes sense. As the many existing threads also confirm.
 
Yes you're right. I think if I lodge 15K after one month the interest rate will fall. OK then I'll lodge 10K.

But it's an online account and I've never dealt with these before....how do I deposit the initial 10K? And how do I withdraw the interest? Sorry if its a very basic question.
 
vanzan said:
Yes you're right. I think if I lodge 15K after one month the interest rate will fall. OK then I'll lodge 10K.
Click to expand...
You should lodge c. €14,900 and withdraw the monthly interest (c. €50 p.m.) to maximise returns. As I said this is covered many times in great detail in existing threads.
But it's an online account and I've never dealt with these before....how do I deposit the initial 10K? And how do I withdraw the interest?
Click to expand...
I seem to recall having to go into a branch to open the account although you can do transfers to/from other accounts online thereafter.
 
Thanks. I was going to open a FA regular saver's account but isn't the 7.15% just a trick to hook you in and then they'll lower it? Think I might stay with my Credit Union even though its a miserly 1.5%.
 
vanzan said:
isn't the 7.15% just a trick to hook you in and then they'll lower it?
Click to expand...
I don't consider it a "trick". If they lower it then you can just move elsewhere (check the terms & conditions of such regular saver accounts to ensure that there are no other lock-ins or penalties for moving).
Think I might stay with my Credit Union even though its a miserly 1.5%.
Click to expand...
That would be really dumb if your goal is to maximise interest returns from your money.
 
vanzan said:
...but isn't the 7.15% just a trick to hook you in and then they'll lower it? Think I might stay with my Credit Union even though its a miserly 1.5%.
Click to expand...
Yeah, that'll show 'em!

OK, so, open a Irish Nationwide: Regular Saver account instead, which guarantees 7.35% (ECB+3.35%) until 31 Mar 2009. And stick €14,900 into a FA eSavings a/c as ClubMan says.

[Edit: post crossed with ClubMan's]
 
you get a cheque from the Credit Union and go into First Active and lodge it to the account when you set it up
 
I don't think you can call into a branch ...I think you have to post it maybe
 
No, you can call in person; probably the easiest, since you'll need to show proof of identity and address. They'll also give you a receipt for your lodgement.
At least, that's the way I did it.
 
DrM, can you clarify which account you made lodgements to in person? AFAIK the FA eSavings account can only be setup online, with initial lodgement by cheque in post (for new customers) or electronic transfer from an existing FA account.
 
that's what I thought after reading the faq on the FA website....maybe he means the regular saver account?
 
Beg pardon, you're quite right — I opened the regular savers in person, then the eSavings accounts online.
 
You must log in or register to reply here.
Menu
Log in
Register