A good way of approaching it is to write down your financial goals and when you want to achieve each one by. Goals coming up shortly will be best achieved by a savings account. If you have longer-term needs over five years, you might want to invest some of your money instead.
By investing into collective investments, your capital is used to buy things that have the potential to increase in value, like stocks, property or bonds. You would benefit from any growth, and also have the option to take a regular income from the investment. But there are risks involved. As stock market-based investments can go down as well as up, you could lose some or all of your money. For this reason, investing is not appropriate for short-term goals.
As a general rule, the longer you can leave your money invested, the greater chance it has to grow.
Your next steps
If you're ready to talk to us about investing, then you can find out more on our financial advice website. Here you will be able to find your nearest financial adviser, book a financial advice review or give us a call and talk to a member of our Review and Financial Advice Team.