Save money for your family / myLot

United Kingdom

November 18, 2020 3:57am CST

I keep an eye on the savings market. I found a saving account paying 1.2 percent interest. I put 200 pounds in it. Just a few days later they closed the savings account. Now most all saving accounts have gone down. I have three regular saving accounts paying 2.75 percent interest. I am trying to build up emergency savings for my family. We have had a lot to repair and so I am so happy to to have no debts and and some savings.

3 people like this

5 responses

Gogata Ionut

@Kasjnak (4489)

• Romania

18 Nov 20

Here, if I put my money into a bank account, I lose money. That's because inflation is higher than interest and the bank also has comissions. It's better to invest in mutual funds or something like that, but the vast majority of people can't do that. Me included

2 people like this

maximax8

@maximax8 (31053)

• United Kingdom

18 Nov 20

Inflation is low in the UK at the moment. The UK bank rate is very low. When I get the money owed to me I will open a stocks and shares Isa account. I might put 10,000 pounds in that and 10,000 pounds in a cash ISA. I also wish to put money money on my pension. I opened that in May 2019. It has 200 pounds per month. I know if went down in the spring of 2020. I wish to begin investing in the S&P 500 for the next 20 years. I am going to ignore the market going down. Mutual funds have large fees and after 20 years it can take lot of your money. Vanguard has low fees. So I will try them.

1 person likes this

maximax8

@maximax8 (31053)

• United Kingdom

18 Nov 20

@Kasjnak Yes, I suggest you change from living dangerously with your finances. Try hard to make a monthly budget and see where you could save some money. As you get older you might get some expenses that you can't pay. So, good luck.

1 person likes this

Gogata Ionut

@Kasjnak (4489)

• Romania

18 Nov 20

@maximax8 I must admit that I live dangerously when it comes to money... No savings, no financial plans, nothing. All I have is my salary. I know I must change this situation...

1 person likes this

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rhuenz

@rhuenz (10646)

•

18 Nov 20

Mostly bank give less interest, if you had a savings of huge amount then worth enough. Well savings is necessary so that we have something to pick up in times of crisis.

2 people like this

maximax8

@maximax8 (31053)

• United Kingdom

18 Nov 20

Great minds invest money when there is a time of crisis. Think back to 2009 in the USA when the banking world crashed. Yes, if you have lots of money you can get lots of interest. Savings in the UK are protected up to 85.000 pounds. Less interest is horrible. Compound interest is what makes money eg 22 pounds in year 1 and 195 pounds in 3 years.

Notlilie

@prinzcy (32322)

• Malaysia

18 Nov 20

Saving account have gone down? You lose your money?

1 person likes this

maximax8

@maximax8 (31053)

• United Kingdom

18 Nov 20

My regular saving account used to pay 5% interest. It went down to 2.75 % interest. It is still okay as it will last a whole year. I simply get less interest.

1 person likes this