We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Pay off mortgage + student loan or invest/save?
Options
Manesova83
Posts: 44 Forumite
Afternoon all,
As the title suggest, I'm torn between two options: paying off my debt, or using that money to save/invest for the future.
A bit of background. I have enough cash in a savings account (1.4%) to pay off my mortgage in 5 years' time (can't pay it off in full before the fixed term expires) and to pay off my student loan (currently £13k) in its entirety. But this money represents about 3/4s of my net worth. The other quarter is mostly invested in ETFs, with a bit in crypto as well. I'm in my mid 30s, self-employed, living abroad (in the EU), and have a family to support.
Do you think it's best to strive to be debt free as soon as possible? Or would that money be better used in long-term investments?
Oh and both the mortgage and student loan have a marginally higher interest rate than my savings account, but only by 0.2%
Thanks in advance for your wisdom!
As the title suggest, I'm torn between two options: paying off my debt, or using that money to save/invest for the future.
A bit of background. I have enough cash in a savings account (1.4%) to pay off my mortgage in 5 years' time (can't pay it off in full before the fixed term expires) and to pay off my student loan (currently £13k) in its entirety. But this money represents about 3/4s of my net worth. The other quarter is mostly invested in ETFs, with a bit in crypto as well. I'm in my mid 30s, self-employed, living abroad (in the EU), and have a family to support.
Do you think it's best to strive to be debt free as soon as possible? Or would that money be better used in long-term investments?
Oh and both the mortgage and student loan have a marginally higher interest rate than my savings account, but only by 0.2%
Thanks in advance for your wisdom!
0
Comments
-
You might want to read this about Student Loans before you pay anything (depending on your plan):
https://www.moneysavingexpert.com/students/student-loans-repay/0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.6K Spending & Discounts
- 244K Work, Benefits & Business
- 598.9K Mortgages, Homes & Bills
- 176.9K Life & Family
- 257.3K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards