Hi

I am a middleaged housewife (over 50) with 40,000 in savings as an endowment has just matured. I'm getting 0.05% interest on it at present. I don't pay tax at present but may get a job in the future. We are currently thinking about buying a house to retire to in 10 years, which we may or may not rent out. I want to earn a better rate of interest and have the money safe. Where would you recommend. Also have an old ISA earning 0.05% haven't put anything in this year as I don't pay tax. That is around 13,000 what should I do with it to get a better return.

1 If you are not familiar with HMRC R85 and R40 forms they're website will explain.

2 ISAs are a bit of a guessing game in your situation - in a perfect world they would yield the same as an equivalent taxable investment but they don't. The key is if you are going to be a tax payer in the future should you buy ISAs now as the annual allowance dies at the end of the year.

3 The return problem is relatively easy - follow MONEY above through to savings and adjust the calculator as required.

Coventry BS are offering 3.3% on a single year tie in

alternatively - try the Newcastle BS - up to 4.5% on a 2 year deal - I wouldn't want to look any further ahead than 2 years at present...