We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
what to do with inheritance
byrney15
Posts: 5 Forumite
Good Evening everyone
I'm about to inherit between 75-80 thousand pounds from my step-dads will and was wondering what everyone thought of my plan to save it. This is only based on a few hours worth of reading this site over the last few evenings, before this I've never looked into any sort of financing.
- using the 123 current account as my main account to earn 1.25% on the first 20K
- 2 HTB accounts in my name and my girlfriends name
- opening and feeding a Santander regular saver at 5%
- opening a nationwide FlexDirect 5% account
- opening a nationwide Flexclusive saver
- JISA for my little boy
I have a few debts to settle first and want to book a family holiday but after that I need to put it away.
thanks for your help guys
I'm about to inherit between 75-80 thousand pounds from my step-dads will and was wondering what everyone thought of my plan to save it. This is only based on a few hours worth of reading this site over the last few evenings, before this I've never looked into any sort of financing.
- using the 123 current account as my main account to earn 1.25% on the first 20K
- 2 HTB accounts in my name and my girlfriends name
- opening and feeding a Santander regular saver at 5%
- opening a nationwide FlexDirect 5% account
- opening a nationwide Flexclusive saver
- JISA for my little boy
I have a few debts to settle first and want to book a family holiday but after that I need to put it away.
thanks for your help guys
0
Comments
-
Good starting points and nothing fundamentally wrong but to get more specific advice a bit more information would help.
Put it away for how long? If it's for a few years cash is fine, if it's for when you retire in 40 years time it won't go far if left in cash.
2 * HTBs - Guess you plan to buy a first property?
Pension situation?0 -
Stocks and shares ISA! (For first 20k) Check out vanguard lifestrategy funds, check out the monevator or motley Fool blogs
(Historically always comes back from crashes eventually)This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0 -
Plan is to start to look at buying our first home next year sometime, nothing really set in stone yet. I'll be wanting to use a sizeable chunk of it for the deposit on the house when the time comes. I just want to make sure that with the rest of it I'm doing the best I can to look after it.0
-
Plan is to start to look at buying our first home next year sometime ... I'll be wanting to use a sizeable chunk of it for the deposit on the house when the time comes. I just want to make sure that with the rest of it I'm doing the best I can to look after it.
In that case don't even think about investing in stocks and shares; your plan is better. Use your capital to get a mortgage loan at a favourable interest rate by virtue of having a good loan-to-value ratio.2 HTB accounts in my name and my girlfriends name
Have you considered LISAs for the two of you (Lifetime ISAs)? You each save £4k and next April (I think it is) the taxpayer adds £1k for each of you. You can use the funds tax-efficiently to buy a first house or (but presumably not for you) you can let the account run until you are 60 and use it as a sort of pension with tax-free withdrawals.Free the dunston one next time too.0 -
In that case don't even think about investing in stocks and shares; your plan is better. Use your capital to get a mortgage loan at a favourable interest rate by virtue of having a good loan-to-value ratio.
Have you considered LISAs for the two of you (Lifetime ISAs)? You each save £4k and next April (I think it is) the taxpayer adds £1k for each of you. You can use the funds tax-efficiently to buy a first house or (but presumably not for you) you can let the account run until you are 60 and use it as a sort of pension with tax-free withdrawals.
I've looked into them, just trying to weigh up which will be better for us, I've got the 4k to deposit straight into a LISA so maybe its worth doing that.0 -
Pay off high interest debt, put some aside in a cash emergency fund, put whatever you need for the house deposit in an insured savings account and put the rest in something like a low cost Vanguard Life Strategy fund in an ISA.... think about a LISA depending on your work place pension situation and need for liquidity.“So we beat on, boats against the current, borne back ceaselessly into the past.”0
-
It'd be worth keeping the house deposit as low as possible if you are going to invest, since investing almost certainly will outstrip the mortgageThis is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.7K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.8K Work, Benefits & Business
- 603.2K Mortgages, Homes & Bills
- 178.2K Life & Family
- 260.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards