Best savings options for monthly savings > €1k

C

cyrus

Registered User
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11
Good morning all, hopefully someone can steer me in the right direction.

My wife and i have started saving for a house, we have about €8k at the moment. Monthly savings will be circa €1.5k between us per month with the odd lump sum going in at bonus time. Hoping to have circa €100k 4 years from now.
What is the best risk free savings option for us? A lot of the regular savers accounts appear to have a €1k per month limit and a lot of the lump sum deposit accounts require balances greater than we have at the moment. Also a lot of them are with Irish banks which worries me some what too.

If you were in my position what would you recommend?
One idea is to ppen a regular savers account each (and therefore be under the €1k per month max limit) and then after 1 year put a lump sum on deposit? or what other alternatives are there?
Im ok with locking the money away, it shouldnt be required for anything else.
Thanks in advance.
 
I think you are on the right track with the idea of splitting your savings into two accounts. The Ulster Bank regular saver account, offering 4%, has an upper contribution limit of €1k and a high balance limit but at that stage, as you say, you can move some of the lump sum into a term deposit. Which term deposit to choose depends on how long you want to lock away the cash. 3.7% is the highest 1 year fixed rate at the moment, but with the new Bank of Ireland product 3% in year 1 and 6% in year 2, averaging out at 4.5% over the two years, it looks like deposit rates are possibly heading over 4% in the next 12 months. This will compete more closely with the An Post Savings Certs
 
The AIB 'Online Personal Savings Plan' offers bonus interest from 10% up to 50% after 5 years and allows €1000 per month subject to not more that one withdrawal in any one year might also be of interest.

Unfortunately for some with interest rates going up, deposit interest will also go up which will help savers.
 

8K in Nationwide UK @ 3.65% @ 1 year term deposit.
1K in Ulster Bank per month @ 4.00% @ Regular Saver account. No more than 15K and check rate frequently.
0.5K plus monthly ad-hoc payments in Nationwide UK @ 3.00% @ Instant Access account.
 
NHG said:
The AIB 'Online Personal Savings Plan' offers bonus interest from 10% up to 50% after 5 years and allows €1000 per month subject to not more that one withdrawal in any one year might also be of interest.
.
Click to expand...

Avoid this account like the plague. It is full of complex trickery in the T&C's.

The rate is just 2.25% AER for year one.

 
CiaranT said:
8K in Nationwide UK @ 3.65% @ 1 year term deposit.
1K in Ulster Bank per month @ 4.00% @ Regular Saver account. No more than 15K and check rate frequently.
0.5K plus monthly ad-hoc payments in Nationwide UK @ 3.00% @ Instant Access account.
Click to expand...

thank you appreciate that
 
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