help!

lindajustin

i have just graduated from uni and owe £9400 student loan. Just inherited £100,000. Wondering what to do with it? Invest? pay off loan? Shares? ISA? Need advice. Please help!! thank you.
ps. i earn £18,000 per yr, monthly outgoings £600

mummytofour

What do you want to do with it??
Do you claim any benefits at all?

morg_monster

Might get more useful info on the savings board. To get helpful answers you're probably best off adding - your age, job (ie how secure it is), do you have a pension, any other savings you have, are you married, have any kids, etc. These things will influence their advice.
£100,000 is a lot though - probably a good idea to pay for some independent financial advice as this could really set you up, especially if you are in a job or career where you don't get any employer contributions to your pension. It is enough to try out some different things - IE shares, you wouldn't want to put it all in, but could be a good time to invest as although the FTSE is still a bit unpredictable, in general shares are lower than they have been in a long time. a Stocks and shares ISA could be a good start. As the housing market bottoms out you may want to use some of it as a deposit to buy somewhere to live.
First bit of advice however would always be to bung 3600 of it straight into a cash ISA if you haven't filled it up already.

As for paying off the student loan - technically you're marginally financially better off NOT paying it off in one go, but if it was me, I would just pay it off now just to be shot of it, as it doesn't make a massive dint in your lovely inheritance and its just nice not to have it coming out of your wages every month!

Voyager2002

Are you one hundred per cent happy with your present job and prospects? If not, get yourself to your uni careers service and have a long hard think about the future. If additional education and training are what you need, now is a good time: you have the money for it, and the companies that cannot afford to recruit graduates now will be looking for people once the economy picks up again, and someone who has graduated and then equipped themselves with additional skills will be first in the queue for good jobs.

Mike1989

As I said in the other thread, you are best paying off all your debts right now as it removes any worry from you. Place £50,000 in the highest rate ISA you can find as that is non taxable, maybe find another account to put the remainder in. Yorkshire Building Society a few weeks back offered a high rate savings account for people putting in over £50,000 into the account. So I'd pay off my debts and put it in a good rate savings account.

TDQO

I wouldn't put any money in the bank with the current financial climate unless it's got a government guarantee... Pay off your debts and spend your cash on essentials.