interest

[west ham fan]

Hi, if I put �40,000,00 in to Lloyds tsb, dose any one know what interest per month would it incure. I am thinking of selling up paying mortgage and bills, buying a real nice motor home and traveling around Europe, the said money is what I would have left after paying every thing and I thought I could live on the interest.
thanks .
westy

[factor-fiction]

Did you mean �40,000?
If interest rate is 5% (don't know actual Lloyds figure) then on �40K you'd get interest of �2000 pa, or �167 a month. You may have to pay tax too depending on total income in the year.
Not enough to live off.

[west ham fan]

Thanks, yes your right but with my pensions I should be ok 'cos the interest can help with fuel, mind it is still a bit of a dream

[Whoever]

Knowing Lloyds TSB, they're probably paying miserable interest rates, and even if you earned 4.5% after tax, that would only be �1800 per year, i.e.�150 per month. And think carefully about giving up your hard won home. You might come back from your travels without any money, your motorhome a depreciated asset and find it impossible to get back on the property ladder again, if the economy is in a bad state and you are unable to easily find another job. I think �150 a month is insufficient to live on, especially when the price of oil/petrol for your motorhome would be rocketing..