cashing in endowment to pay off loan

megcam

Hi,

I am looking for some help regarding my finances.
I have a £100000 mortgage on a property worth appx £190000 and have it on part endowment and part repayment 50/50% appx.Alongside the interest only i have an endowment which is well underperforming.
I am thinking on cashing in my policy(surrender value is about £24000.
Now the complicated bit!! I wouldnt use the money to pay off the mortgage but instead would pay off my car loan(which i recently took out for £9000 and has no penalty and costs me £200 p/m)I would also clear a credit card balance of appx £3000.This would leave me with £12000 free.
It would cost me £200 p/m to change my mortgage to total repayment over the same term.When i add up all the sums i look to be appx £200 better off(no loan£200,no visa£100,no endowment£100. Debt free apart from the mortgage of course!!Although will be worse off in 6 years when endowment is due to mature.
Any advice greatly appreciated as me and my wife are so unsettled as to the best course of action

Gary123456790

Hi,

This is a complex scenario which is probably not suited to a free-for-all internet forum.

Probably best to see a local respected IFA as there are many financial products in the mix.

Gary.