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AIBU?

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Original poster

What would you do if you suddenly received this sum?

37 replies

Yomjl · 24/04/2024 15:18

I’ve been gifted 45k. I have an outstanding mortgage of 285 (which is 45% of house value). I do have a decent income currently (4K after tax) but have big childcare costs. What would you do?!

OP posts:
GabriellaMontez · 24/04/2024 15:56

If you've got a low interest mortgage rate, put it in a high interest saving account(s).

TipsyKoala · 24/04/2024 15:54

£5k on a nice holiday. £5-10k on any house repairs work that need doing. The rest, depends on you mortgage rate but either pay a bit off or save it all in as high an interest account as you can find until you remortgage then use it to decrease your mortgage.

CroftonWillow · 24/04/2024 15:26

Open a stocks and shares ISA and start looking into a few tracker funds to spread it across over the next two years.

MILTOBE · 24/04/2024 15:25

Bumblebeeinatree · 24/04/2024 15:23

Put it in high rate savings if your mortgage interest rate is less than the savings rate currently.

Yes, this is what I'd do.

Also make sure you put some into your pension - you'll get tax relief on it.

BorisIsACuntWaffle · 24/04/2024 15:24

Pay off any car loans and then whack the rest off the mortgage ASAP.

pizzaHeart · 24/04/2024 15:24

What is the percentage on your mortgage? I would open a saving account with a higher than your mortgage percentage if it’s possible or do necessary improvements for the house.
I would only pay off mortgage if its rate is very high and presents a problem for you.

fourelementary · 24/04/2024 15:24

Probably pay £25000 off the mortgage and spend the other £20000 on a holiday and a big home improvement (35/75 split ish)

Bumblebeeinatree · 24/04/2024 15:23

Put it in high rate savings if your mortgage interest rate is less than the savings rate currently.

ImNotAPanda · 24/04/2024 15:23

Buy a caravan or motorhome or something like improve the kitchen.extension. Something to make life better. Holiday of a life time etc

HAF1119 · 24/04/2024 15:22

Oh but check the overpayment limit and come in under that when you do it!

HAF1119 · 24/04/2024 15:21

So I'm a bit boring as a person... but I'd pay it down on the mortgage, work out the difference in monthly before and after, and every other month put the extra in the holiday fund, every other in savings/potential mortgage overpayments. But I like to get rid of mortgage asap to increase monthly money!

Haydenn · 24/04/2024 15:21

Bung it into premium bonds until your mortgage deal expires and then pay off a wedge at that point to access a better deal