About to get inheritance, my plan of action

krazyk

I thought I'd think out loud here with my plan of action for putting my very imminent inheritance to good use:

1. Put inheritance into my current bank account, Nationwide FlexBasic, estimating it's £60k
2. Run free eligibility test for a bad credit CC
3. If successfully, apply for a Aqua classic card and add a payment or two + set to pay in full each month
4. Pay off debts and a few purchases, about £20k
5. Run a credit check (Aqua card sends a free report but not sure how soon after gaining the report)
6. Apply for an upgraded FlexDirect Nationwide account and move £2.5 over to that for a year (then move it to another high interest account)
7. Apply for a Santander 123 account and move £20k over to that, adding my Virgin Media, Mobile and council bills to it to gain cashback
8. Apply for a Nationwide Flexculsive Regular Saver account and set up £500 monthly transfer from current account for a year (then move it to another high interest account)
9. [alternatively apply for a First Direct current and savings account for a slightly higher rate]
10. Put £15,240 into a Nationwide Flexculsive ISA (this is probably the most likely account I'll get and if I get rejected by others then I'll just put as much in here as I can)
11. As I don't believe you can apply for a Help to Buy ISA in the same FY as another, open up a Halifax Help to Buy ISA with £1200 in April and set up £200 monthly transfer from current account
12. Get a state pension statement in April to check contributions and up my personal pension at work to £200-300 per month

Going beyond this is to up in the air but if all goes well this roughly covers £40k, with all the monthly transfers. As I have no debts to pay per month I'll also have about 750 each month after all my bills go out. That alone is going to feel nice. :-)

My issue, if you've not guessed already, is I have a bad credit rating so I'm trying to improve that. If I fail any applications then I'll fall back on trying normal savings accounts and pumping in as much as I can into the ISA. My current Nationwide current account doesn't pay interest so if everything fails then then only interest I'll gain is from the ISA and any normal savings accounts I can get.

Hopefully in 2-2.5 years time my credit score will have improved, and by then my defaults would have come off my record, and I'll then buy my first house.

Feel free to point out any flaws in my plan or any better suggestions. :-)

Happy New Year all! :-D