I’m taking control of my life, now.

boxofpaws

Hello all
 

Good things
Weird job ran its course. I applied for a new job at Easter working for my old boss. Despite over 50 applicants, I beat off the competition. Still in cloud 9 about it if I’m honest. Love the new job and really love working for my old boss again. I got a £16k pay rise with it too. Still can’t believe my luck.
Some inheritance money has come through. I decided not to pay down any debts with it, the savings rates are better. I upgraded my car (to an 8 year old car instead of 13 year old car), bought Mr P a fancy motorbike, gave the kids some money, went on a holiday and invested the rest.
The spendiness is back under control. Told mr P there was no budget restraint for a holiday, let’s go all out. Turns out, we like the cheapo holidays. 

One loan came to an end. Consumer debt at all time low - £5.9k. Obviously I could pay it off now with inheritance, but resisting that urge so far. 

My kitten is now a cat and I am in love with her.

Bad things 
Always going to have that guilt that the inheritance isn’t really my money.
I wish my parents were here instead, especially at this time of year. 

Car loan - £5.9k
Mortgage - £109k

MFWannabe

What is the interest on your car loan? When is the loan due to end? 

boxofpaws

Hello - interest is 2.86%. It’s through the bank rather than a car finance company because that was the best rate at the time. (Pre Luz Truss!) We have 14 payments left of £441 minus a few overpayments. 

Most of the savings are at 3.5 - 5%

MFWannabe

Personally if it were me I’d pay it off and be totally debt free 
£441 per month is a lot of money 
Yes you gain a little more interest on savings but if it doesn’t make too much of a dent in your savings I would pay it off. 

boxofpaws

There is another reason. Two in fact. 

Mr P is just a bit wild with money when it comes to cars. Wild. if I pay off the loan, he will see it as free rein to go out and get another stupid car. This was meant to be his loan, but I have paid half and some over payments. 

The other reason is that I want to have done it ourselves. Not just because mum and dad left me some money.

EssexHebridean

That is a very good reason to not clear it BoP - I have always been a believer in the benefit of “putting the work in and learning the lessons” too - it’s the same reason we usually advice against parents bailing out kids who get themselves into financial difficulties - without the process, all too often no lessons are learned and the whole cycle starts again. 

Congrats on the job thing by the way - and well done you for seeing an opportunity you wanted and going for it! 

savingholmes

So pleased for you on the job. I would keep £ in savings too.