Lump Sum Investment Ideas Please?!

badger09

sandsy wrote: »

So sorry to hear of your loss.
Please, whatever else you do, don't just sign on the dotted line to buy an investment product through your bank.
You really need to speak to an INDEPENDENT financial adviser.

Agree. Your bank will (and can only) tell you about their own range of savings and investment products.

With your financial future at stake, if you have no knowledge of investing, you should seek proper professional advice from someone qualified to give it - an IFA.

greenglide

LibbyX wrote: »

Thank you so much for your prompt reply, I understand what you are saying. I am not sure if it's possible to live on the sum you suggest with bills and overheads of running my home. Living on £6800 per year would be very difficult - £566 approx per month, my Council Tax alone per month is £124, along with other essential bills and keeping my house going etc.

If the bereavement was recent have you received the bereavement payment and bereavement allowance from DWP (assuming your husband was of working age and had an up to date contributions record).

You have said that you do not have any pension provision, did your husband? They may pay a survivors benefit.

ChesterDog

One more voice to add to the chorus: use an Independent FA, not one at your bank. Your bank will give you some tea and sympathy and then sell you something they want you to have.

Very sorry to hear about your loss. Well done on looking to sort out your finances and future. Your husband would be proud of you, and pleased to know you are doing the right thing to protect yourself financially.

xylophone

If you are now living alone, have you checked the position regarding council tax as there is usually a discount available in these circumstances?

Have you checked as to whether your husband had a pension that would pay a widow's pension?

As you are unable to work on account of ill health, have you checked out any entitlement you might have to state benefits? Is there a benefits adviser at your local council?

Have you checked the situation regarding Bereavement Benefits?

With regard to the lump sum, you might consider using part of it for your cash isa allowance which will rise to £15,000 later this year.

With regard to your savings income, see http://www.hmrc.gov.uk/taxon/worked-examples.htm

It would be wise to consider investing rather than saving part of your capital - seeing a local Independent Financial Adviser might be your best bet. http://www.unbiased.co.uk/financial-adviser

At this disorienting time, you might wish to consider placing the whole of the lump sum with NS&I for a few months while you consider your options.

http://www.nsandi.com/savings-income-bonds will pay a gross monthly income while you rest and begin to come to terms with your new situation.

Remember to check out your tax situation - if you do not feel up to this and a friend or relative cannot help, you might post your figures on the board and someone could look over them?

xylophone

Another thought https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/181237/single-tier-pension-fact-sheet.pdf
regarding State Pension.