Inheritance

Options
highguyuk
highguyuk Posts: 2,763 Forumite
First Post First Anniversary Combo Breaker
in Savings & investments
Unfortunetly due to a family death we (myself and my parent) are likely to receive an inheritance in the region of £40,000.

We have never been with money and although we get by this is going to be a huge change in our lives. We are likely to spend some of the money on luxuries etc but we are looking to the future and would like to make use of the money long term.

Neither of us have any savings accounts etc, we both have pension schemes. No mortgage, No Right to Buy our rented accomodation. I dont know if this is relevant (Not sure ive even posted in the right place, feel free to move if not).

Basically, what is the best way to manage this money? What can we do? Are the possibilities endless? lol.

Comments

  • dunstonh
    dunstonh Posts: 116,530 Forumite
    Name Dropper First Anniversary First Post Combo Breaker
    Options
    Are the possibilities endless?

    No, but you do have about 20,000 options to consider.

    It really depends on what you want to do with the money, how long its going to be there and what degree of risk you want to take.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • highguyuk
    highguyuk Posts: 2,763 Forumite
    First Post First Anniversary Combo Breaker
    Options
    Minimal Risk as my parent is in her early 50's and would like some of this for her golden years.

    What we want to do ... well, we dont really know the options! Savings? Property?

    Time wise, medium to long term, doesnt need to be a short put the money in and scarper type jobby!
  • dunstonh
    dunstonh Posts: 116,530 Forumite
    Name Dropper First Anniversary First Post Combo Breaker
    Options
    See an IFA. Those sort of goals would include regulated financial services products. Otherwise you are just going to get savings accounts suggestions here which are not ideal for the length of time involved.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • highguyuk
    highguyuk Posts: 2,763 Forumite
    First Post First Anniversary Combo Breaker
    Options
    We have looked into IFA, we have found we get one free with some company through paperwork we found!

    Thanks for the help
  • whiteflag_3
    whiteflag_3 Posts: 1,395 Forumite
    Options
    highguyuk wrote:
    We have looked into IFA, we have found we get one free with some company through paperwork we found!

    Thanks for the help

    You dont get anything for nothing! You should be looking for an adviser you like and trust, not the cheapest.
  • highguyuk
    highguyuk Posts: 2,763 Forumite
    First Post First Anniversary Combo Breaker
    Options
    Yeah, but for a bit of free info and advice before we look into anything whats the harm?! Its not like the freebie is the only advice we are going to seek...
  • missile
    missile Posts: 11,691 Forumite
    Name Dropper Photogenic First Post Combo Breaker
    Options
    The harm is, you can easily get suckered into something which you later regret. My 80 year old mother who has invested in 5 - 10 year bonds. Very good investments maybe, but she does not have access to the money which she and my father worked so hard to earn.

    There are no pockets in a shroud :-(
    "A nation's greatness is measured by how it treats its weakest members." ~ Mahatma Gandhi
    Ride hard or stay home :iloveyou:
  • dunstonh
    dunstonh Posts: 116,530 Forumite
    Name Dropper First Anniversary First Post Combo Breaker
    Options
    Most bonds now are open ended and do not mature. They stay there until you want to withdraw them and have a minium term of 5 years to avoid exit penalties. They also allow annual withdrawal amounts of anything from 5-10% depending on provider.

    If the advisor knows the goals, the product recommended should match those. In missile's case, bonds may very well have been the right product as they are still flexible enough to suit the elderly (plus have advantages for over 65s/75s) but it may have been the provider that was wrong. Going off topic a bit, but missile, have you investigated or got them to investigate if there are withdrawal options on them? It may have been sold as a 5-10 year bond but that doesnt mean there are not options available
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • whiteflag_3
    whiteflag_3 Posts: 1,395 Forumite
    Options
    highguyuk wrote:
    Yeah, but for a bit of free info and advice before we look into anything whats the harm?! Its not like the freebie is the only advice we are going to seek...

    Im sorry I was trying to help!

    You wont get advice for free! Youll get meeting for probably about an hour where you will be asked lots of questions. Was trying to save you wasting your time but like you say.............................
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.5K Banking & Borrowing
  • 250.2K Reduce Debt & Boost Income
  • 449.9K Spending & Discounts
  • 235.6K Work, Benefits & Business
  • 608.6K Mortgages, Homes & Bills
  • 173.2K Life & Family
  • 248.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards