If you inherited £20k, what would you do with it?

CrazyBee787

I would make sure I have an EF (including enough to buy a car if needed) and then OP the mortgage, although you may not earn more interest, although in this climate you probably would, once that mortgage is cleared you have less risk at home, say for example you lose your job, how will you pay the mortgage? EF, Mortgage, then saving and FIRE (Financially Independent Retire Early).

ShinyStarlight1

What do you think your granddad might suggest?

You mentioned that bills are your sole responsibility and consume much of your salary. I think I would look at how I could reduce that with energy-saving devices: solar panels etc. Though this would depend on how long you were planning on staying in your current home. 

Kim_13

Max out my ISA allowance while considering if there was a better use for the money. The allowance is likely to be lower/more restrictive soon so I would find a Flexible ISA and go from there.

redpete

I don't think you've mentioned your current pension arrangements. My advice would be to review those, make sure you contribute from your salary into your employer's scheme to make the most of the employer contribution.
If this leaves you a bit short each month, then use the £20k in cash ISA to supplement your monthly income.
And ensure you have sufficient available as an emergency fund.

u8myufo

I`d know what to do with it, the problem is finding it. Would have had an equal share of 35k which was left to my late mother, a cheque that she never banked. The law firm who dealt with it tell me they cannot check if that was the case as there are no paper records from 2009.

enthusiasticsaver

Given you are young and have already bought a house I think I would put half away in a stocks and shares isa and save half towards a new car if you are planning to change that first.  Addressing your pension and making sure your emergency fund is enough are also good choices as is overpaying your mortgage.