Why you shouldn’t leave your money in the Building Society!

Yesterday, I was talking to a very good friend of mine, and we got onto the subject of money and savings. Our life is so exciting! Anyway, they were complaining that their small savings in a building society are earning them next to nothing!

For their £4000 savings, they recieved just £4.13 in interest payments in a year! Then they had to pay 83p in tax! Leaving them with a whopping £3.30!!!! WOW!!!

Now, he didn’t want to hear what I had to say! You see, I can become a bit of a bore when it comes to renewable energy! But, if he had “invested” that money in a solar thermal system (based upon local grants that are available in his area, he would have actually got £1500 left!), he would have saved around £80 on his heating bill. Not great I hear you say (in fact that’s what he said too!), but it was the next part that made him think….

In April 2011, the “Renewable Heat Incentive” comes into “play”, he will ”earn” an additional £300 tax free!!!! (according to our calculations and the proposed payments)…

He’s now very interested!! All he needs to do is convince his wife, who wants to keep it for a “rainy day”!!!! Although he did say, that they’ve had that money for 4 years and haven’t touched a penny of it yet!!!

What’s a man to do???

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