Looking for advise on what to do with spare money each month.

stridernje

Hi I have some loans, cards , a mortgage and a pension scheme.

I have 3 loans.
1 = 5.65% APR @ £2978.10
2 = 2.9% APR @ £13974.48
3 = 0% APR @ £422.94

I have 2 cards at 0%,
1 = £6256.53
2 = £4134.42

I have an interest only mortgage.

I am able to save on average around £500.00 pm.

With the £500,00 should I,
A - Pay down some of the loans / cards.
B - Pay it into the mortgage to reduce the capital.
C - Pay it into savings (with Nationwide, can currently get 8% provided I do not drawn any money out during the term (12 months)
D - Top up my pension each month.

Where is the best place to put the £500,00 each month, or any spare money for that matter.
If you need more info just ask me.

Rob5342

I think it all depends on how much you have saved already.

Emmia

stridernje said:

Hi I have some loans, cards , a mortgage and a pension scheme.

I have 3 loans.
1 = 5.65% APR @ £2978.10
2 = 2.9% APR @ £13974.48
3 = 0% APR @ £422.94

I have 2 cards at 0%,
1 = £6256.53
2 = £4134.42

I have an interest only mortgage.

I am able to save on average around £500.00 pm.

With the £500,00 should I,
A - Pay down some of the loans / cards.
B - Pay it into the mortgage to reduce the capital.
C - Pay it into savings (with Nationwide, can currently get 8% provided I do not drawn any money out during the term (12 months)
D - Top up my pension each month.

Where is the best place to put the £500,00 each month, or any spare money for that matter.
If you need more info just ask me.

It depends on your other savings, but hopefully you have a plan to pay off the capital on the property associated with that interest only mortgage.

Personally, if that £500 was in excess of the savings you're making relating to the property to pay the mortgage, and loan repayments at 0%, I'd be paying off the credit cards that are attracting interest, then the 0% card, and then piling the money into either your pension or something like a S&S ISA for longer term savings or the Nationwide account (shorter terms)  depending on your pension provision/ if you want to retire earlier than it will pay out and will need money for the gap.

fatbelly

We may be tinkering at the edges here

Why is the mortgage not on a repayment basis?

What is the interest rate?

What is the remaining term?

enthusiasticsaver

I would also address the interest only mortgage. What is the plan re repaying that?  What rate are you paying? 

Will you clear the cards within the 0% deal period?

How much do you have in savings? That Nationwide regular saver at 8% only takes £200 a month. 

As you have debt approaching £30k and an interest only mortgage I would address those as a priority rather than the pension and investments. 

kimwp

Adding to the crowd here, but what is your plan to pay off the mortgage capital?

scourses

Pay off the debts as quick as possible, do you have a plan to pay off mortgage? No investing until debts are paid off.