Hi all,
Need some advice re: the above.
I’ve just started my first job out of uni. 2 queries – what to do with savings, and how to do day-to-day transactions.
I currently have a Natwest Graduate account, which gives me a £2k interest free overdraft for 1 year, and £1k for the second year.
1. I have to pay my parents back around £5k, but it does not have to be paid back in instalments, or in a particular rush (I’d like to do it well within 2 years though).
I plan to “save” up £500 each month from my pay, to either go to my parents, or to go towards holidays etc – normally going towards parents though of course.
I would just stick the £500/month in an ISA, let that get a bit of interest, and then pay my parents back from that when I have saved enough. However, I know I will want to dip into the account at least a couple times a year (holidays etc), so not sure an ISA will work. Are there any other ISA-like accounts with reasonable interest rates, which allow me to withdraw from it?
I guess one option would be to keep an amount in my “normal” account so that I never need to dip into the ISA, but would rather keep all my “savings” in one place..
2. I have my Natwest Graduate account (which also comes with a credit card) – but are there better options for day to day spending, with cash back etc? I may as well max out the overdraft of the Graduate account while it’s interest free, and put it wherever I put the savings.
So, any thoughts on the best way to do things? Any thoughts would be much appreciated!
Or…. Just use my existing Natwest account and be done with it…?
Thanks,
Duane.