50K To invest

paul_taylor_2

Hi All, My dear old mum has had to give me 50k to get her below the inheritance tax threshold. I have to give it all back (on a sliding scale after 3 years) if she passes away within 7 years( I would think this is unlikely). I have a 44k endowment mortgage which will be out in 5 years, should I pay th
is off (I have no other debts) or invest, I already have an ICICI account

Many thanks,Paul.

amcluesent

>I would think this is unlikely<

Use some of the money to buy a matched life assurance equal to the IHT liability.

>should I pay this off <

There may be penalties in doing this. But if not, I would.

dunstonh

I have a 44k endowment mortgage which will be out in 5 years, should I pay this off (I have no other debts) or invest

It depends on your risk attitude. Mortgage borrowing is cheap still and investment returns have been running at more than double the rate of borrowing (if you still include the stockmarket crash) assuming you have a half decent spread. However, it is a personal preference.