Savings what to do with it

WelshGlyndwr
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My partner and i have 85k in various bonds and isas. We also have 139k remaining on the mortgage. What should we do? Jointly we earn £68k. We have no kids
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WelshGlyndwr said:My partner and i have 85k in various bonds and isas. We also have 139k remaining on the mortgage. What should we do? Jointly we earn £68k. We have no kids2
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2.34% it ends the mortg next Aug 241
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My suggestion would be to keep some savings aside in an easy access account, and put the rest (perhaps half) into 12-month ISAs, perhaps using both of your allowances.These accounts will then mature this time next year, and you’d use them to pay down your mortgage after your fix expires. That way you’ll have to borrow significantly less when you come to renew your mortgage - as interest rates are likely to be significantly higher than the 2.34% you’re currently paying.0
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r6mile said:My suggestion would be to keep some savings aside in an easy access account, and put the rest (perhaps half) into 12-month ISAs, perhaps using both of your allowances.These accounts will then mature this time next year, and you’d use them to pay down your mortgage after your fix expires. That way you’ll have to borrow significantly less when you come to renew your mortgage - as interest rates are likely to be significantly higher than the 2.34% you’re currently paying.0
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WelshGlyndwr said:My partner and i have 85k in various bonds and isas. We also have 139k remaining on the mortgage. What should we do? Jointly we earn £68k. We have no kids
How can you expect anyone on here to provide an answer?
Given the very limited information in your post we have no idea about any of your priorities or personal values.
Is it important to be mortgage free or more important to give it to the cat's home?
Why did you start saving? Just to have some cash? To give you options? Is it part of an early retirement plan?
Just go and buy an Aston Martin?
Mortgage: £200,000 (Sep 2021) Initial MF date: Sep 2031
Int Rate: 1.19% fixed until Nov 2026 (7.75% follow on rate?)
Cap+Int Repaid: £65100 (32%) £80,704 (40%) £82468 (40.48%)£89507 (43%) £91267 (44.7%)
Target MF date: Nov 2026 Current MF date: Dec 2029, Nov 2029, Apr 2029
Target Int Saving: £21,709 Current Int Saved: £12,350, £13,421, £16,991, £17,989, £18,699
Overpayments suspended and surplus cash currently being diverted to high interest savings.1 -
WelshGlyndwr said:r6mile said:My suggestion would be to keep some savings aside in an easy access account, and put the rest (perhaps half) into 12-month ISAs, perhaps using both of your allowances.These accounts will then mature this time next year, and you’d use them to pay down your mortgage after your fix expires. That way you’ll have to borrow significantly less when you come to renew your mortgage - as interest rates are likely to be significantly higher than the 2.34% you’re currently paying.0
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Given mortgage rate increases I would be tempted to make a large overpayment once the fix finishes assuming your mortgage rate increases. At the moment your mortgage is a fairly good rate so you can easily earn over 2.34% on your savings.
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Link to soa: https://www.lemonfool.co.uk/financecalculators/soa.php0 -
r6mile said:WelshGlyndwr said:r6mile said:My suggestion would be to keep some savings aside in an easy access account, and put the rest (perhaps half) into 12-month ISAs, perhaps using both of your allowances.These accounts will then mature this time next year, and you’d use them to pay down your mortgage after your fix expires. That way you’ll have to borrow significantly less when you come to renew your mortgage - as interest rates are likely to be significantly higher than the 2.34% you’re currently paying.0
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BikingBud said:WelshGlyndwr said:My partner and i have 85k in various bonds and isas. We also have 139k remaining on the mortgage. What should we do? Jointly we earn £68k. We have no kids
How can you expect anyone on here to provide an answer?
Given the very limited information in your post we have no idea about any of your priorities or personal values.
Is it important to be mortgage free or more important to give it to the cat's home?
Why did you start saving? Just to have some cash? To give you options? Is it part of an early retirement plan?
Just go and buy an Aston Martin?0 -
WelshGlyndwr said:
My partner and i have 85k in various bonds and isas. We also have 139k remaining on the mortgage. What should we do? Jointly we earn £68k. We have no kids
BikingBud said:
Blow it all in Vegas, put it all on red?
How can you expect anyone on here to provide an answer?
Given the very limited information in your post we have no idea about any of your priorities or personal values.
Is it important to be mortgage free or more important to give it to the cat's home?
Why did you start saving? Just to have some cash? To give you options? Is it part of an early retirement plan?
Just go and buy an Aston Martin?
WelshGlyndwr said:
i was wondering if it was a good amount of savings compared to other people. should i be saving more?
If you are saving, to what end?
Do you have a goal?
If you have no clear idea about what you want to achieve then why are you saving?
Mortgage: £200,000 (Sep 2021) Initial MF date: Sep 2031
Int Rate: 1.19% fixed until Nov 2026 (7.75% follow on rate?)
Cap+Int Repaid: £65100 (32%) £80,704 (40%) £82468 (40.48%)£89507 (43%) £91267 (44.7%)
Target MF date: Nov 2026 Current MF date: Dec 2029, Nov 2029, Apr 2029
Target Int Saving: £21,709 Current Int Saved: £12,350, £13,421, £16,991, £17,989, £18,699
Overpayments suspended and surplus cash currently being diverted to high interest savings.1
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