Use my ISA money or take out a loan?

heppy23

margaretclare wrote:

It's a good general principle to remember: if you're paying out more in interest on a loan than you're gaining in interest on savings, then you should use savings instead of a loan!

This was one of those 'lightbulb' ideas that my DH managed to get through my head a few years ago. Never borrow while saving at the same time, because you'll always pay out more in interest on the loan than you're getting on your savings.

HTH

Margaret

I agree. You have to ask yourself why you save.
Is it for the sake of it?
Or is so that when lifes big expenses crop up you can deal with them with your money without borrowing.

It's sensible to have a chunk of money put by to cover expenses after redundancy etc but it's daft to get into debt while you have savings.