Is it wrong to use Children's savings...

le_loup

I think you have already decided and are going to take the advice of those that agree with you and ignore the rest of us.
Good luck.

justme111

I would say no don't do it.
It is not an emergency yet , it is just a tough period . If you did not get that money you would got by. By using it now you will make life easier now but that's not what are there for.

jackieblack

amberspyglass wrote: »

If we were made homeless tomorrow, would it be wrong to want to use their £3,000 to rebuild our lives or should I do the ''right'' thing and not touch it because it doesn't belong to me...

But you're not about to be made homeless. that's an entirely different scenario.
At the moment it's just about making things easier for yourself.

srcandas

le_loup wrote: »

I think you have already decided and are going to take the advice of those that agree with you and ignore the rest of us.
Good luck.

But le loup is that not how all decisions are made?

When a situation exists of which you are part it is very unlikely you have a totally open mind.

However if strong arguments (as opposed to unsubstantiated opinions) are presented in a helpful way it is possible for even well entrenched people to change their minds.

Sadly here (in general, not this particular thread) too many posters become judgemental based on almost no evidense. But that's life :beer:

seven-day-weekend

I would have no hesitation in using the money to pay off the loan.

Then pay the children back at £100 a month. You've still got £90 a month saving.

Any

amberspyglass wrote: »

Hi Everyone,

The kids have their own Nationwide savings accounts in their own names and I'm the named adult on both accounts. All money in their accounts of course belong to them, however I don't understand what ''slippery slope'' this will lead me down if I feel I have no option but to borrow it until I can pay it back, which I will when I sell my property in the future.

I took out £5,500 and I believe I have about £3,000 outstanding but would have to phone them to get the final exact figure. I actually take offence to your comment JohnRo, that it was for ''frivolous'' spending. I was investing in our future by ensuring the flat was in good repair in order to get a tenant to move in and therefore receive a rental income. I have a good credit rating and I like to think I am sensible with money, I budget and can account for every penny. Apart from my mortgage this is the only debt I have.

I agree that my children are not responsible for paying off my loan but I am responsible for my children and keeping us fed, housed and clothed. If we were made homeless tomorrow, would it be wrong to want to use their £3,000 to rebuild our lives or should I do the ''right'' thing and not touch it because it doesn't belong to me...

:):)

The slippery slope I was talking about is that if the inheritance was bequeathed directly to them then you are on a slippery slope legally.

I am sure my mother would have also taken offence if someone asked if she was "frivoulously spending". Still doesn't excuse the fact that she had spent all our grandparent's savings for our future and we ended up with nothing. My grandparents went bonkers at her.
We are still her calling place now when she hasn't got any money.. We don't know you. Just sharing experiences.

This is a public forum, if you wanted everyone to agree with you, tell you to jump at the chance and praise what a smart parent you are for thinking of it, you shouldn't have posted.

pineapple123

My concern is will you have enough money to support yourself and your children if you pay this loan off.
Do you work or will you collect means tested benefits. The reason I ask is if you need benefits then your rented property will have an impact on the amount you recieve, you may need to use these savings to keep afloat in the future and give you time to work out how much you have to live on. It may be an idea to approach your loan company and explain the situation you are now in (not mentioning the savings) with view to maybe reducing your monthly payments, extending the loan agreement etc.
I would use the savings if I had no choice and it was impacting on my children but not pay off all the loan off in one go, you may have some rainy days ahead.

Archergirl

Surely 'extending the loan agreement' would just mean the loan would cost even more in terms of interest, not a good idea I would have thought.......

Norman_Castle

If you view this as a loan from your children secured against the rental property with an expected repayment time it makes sense as its cheaper than your current loan. Talk to your mother first as she has given them the majority of the money.
Learn to decorate. No more loans.

pineapple123

Agree loan will cost more in terms of added interest but It is just a suggestion to get over what could be a difficult time for OP. If she uses all the savings now then what has she got left to fall back on. If she is in a better financial situation in the future then she could pay off all the loan then. Having children and No money to live on, worried how to feed and cloth them is much worse then having to find some extra interest and repaying a loan over a longer period.