Inheritance

[expensivegarms]

Evening all,

I've found out this evening that I have inherited a sum of £10k, maybe more, from my Great Uncle. I say maybe more because his estate hasn't been divided up yet, and from what my Dad has said, it sounds like I get a percentage. The minimum I get will be £10k, according to their calculations.

Apart from being a complete shock, (I never expected anything, and the news made me physically unable to speak for quite a few minutes) I'm not really sure how to feel.

As I am inheriting a decent sum of money, I am interested to know the best way to invest it and make it grow, or to know the best way of spending it on something that can make it grow. I was thinking that I will probably take £1k from the lump sum to put towards a new car, and invest the rest.

What do you guys do to make a sum like that grow? I can appreciate it's not the largest sum in the world, but it is the most money I've had before, and I don't want to waste it!

Any suggestions or advice would be greatly appreciated.

[megaphone]

Pay a chunk off your mortgage if you have one, if you don't use it as a deposit to buy somewhere.

Edited by megaphone on Tuesday 9th October 09:17

[jdw1234]

As above.

Don't waste it on cars, shiny tat, going out or anything made by Apple. You will regret it.

Put it somewhere low risk if you are not yet at the stage in your life when you own a house.

If you do not wish to own your primary residence then invest it in a way to generate some sort of income to help pay your future rent payments.

[fido]

Pay off debts and stay off debt - except for a mortgage. You'll be in a better position that 90% of young people in the UK - a smug grin is worth more than any iPhone.

[greygoose]

fido said:

Pay off debts and stay off debt - except for a mortgage. You'll be in a better position that 90% of young people in the UK - a smug grin is worth more than any iPhone.

Doesn't a smug grin come with every iPhone?

[expensivegarms]

Thanks for the replies so far. I think that most of the cash will go towards a deposit for a house. I just need to be able to work out the best way to save it. I've decided that some of it will be used to buy a 12 string guitar, something that I've always wanted, and that I know will be something I keep for the rest of my life. The sentimental value would mean that it will never be sold, just the same as the other couple of guitars!

[jonny70]

expensivegarms said:

Thanks for the replies so far. I think that most of the cash will go towards a deposit for a house. I just need to be able to work out the best way to save it. I've decided that some of it will be used to buy a 12 string guitar, something that I've always wanted, and that I know will be something I keep for the rest of my life. The sentimental value would mean that it will never be sold, just the same as the other couple of guitars!

That makes sense. I would of suggested using some of the inheritance to buy a keep sake that will last you a lifetime like a decent watch. Put the money in a cash isa

[Jules360]

jdw1234 said:

As above.

Don't waste it on cars, shiny tat, going out or anything made by Apple. You will regret it.

Put it somewhere low risk if you are not yet at the stage in your life when you own a house.

If you do not wish to own your primary residence then invest it in a way to generate some sort of income to help pay your future rent payments.

I have never regretted buying any car, shiny stuff or Apple products

[jdw1234]

Jules360 said:

jdw1234 said:

As above.

Don't waste it on cars, shiny tat, going out or anything made by Apple. You will regret it.

Put it somewhere low risk if you are not yet at the stage in your life when you own a house.

If you do not wish to own your primary residence then invest it in a way to generate some sort of income to help pay your future rent payments.

I have never regretted buying any car, shiny stuff or Apple products

Good for you. However, I would assume £10k isn't a lot of money for you.

From the chaps post...

"I can appreciate it's not the largest sum in the world, but it is the most money I've had before, and I don't want to waste it!!"

[mrmr96]

Jules360 said:

jdw1234 said:

As above.

Don't waste it on cars, shiny tat, going out or anything made by Apple. You will regret it.

Put it somewhere low risk if you are not yet at the stage in your life when you own a house.

If you do not wish to own your primary residence then invest it in a way to generate some sort of income to help pay your future rent payments.

I have never regretted buying any car, shiny stuff or Apple products

Was it an inheritance which you used to pay for them?

[Martyn-123]

Property then a beautiful acoustic guitar that will become part of the furniture in your home and will remind you of happy days gone by.


Bought a lovely Takamine some years ago from a little money left by my grandad, will never sell it.....

[BoRED S2upid]

Stick in in an account that you need to give notice to withdraw and save for the deposit on the house, its not going to grow much but every little helps. Your doing the right thing spending a little on something that means a lot to you.

[jdw1234]

...yes the guitar sounds lovely.

[expensivegarms]

Martyn-123 said:

Property then a beautiful acoustic guitar that will become part of the furniture in your home and will remind you of happy days gone by.


Bought a lovely Takamine some years ago from a little money left by my grandad, will never sell it.....

This is what I was thinking. A car will depreciate quickly, and a guitar may never be worth as much as it was when first bought, but they do look good on a stand in my living room!

[cerbfan]

Buy a vintage Rolex, something like a 1665 Sea Dweller, this will appreciate in value and can be worn everyday as a reminder of your Uncle.

[dirty boy]

cerbfan said:

Buy a vintage Rolex, something like a 1665 Sea Dweller, this will appreciate in value and can be worn everyday as a reminder of your Uncle.

A nice watch is certainly a good shout.

[expensivegarms]

I'm not all that clued up on watches if I'm honest! I think I will stick with a guitar, it's something I would like, and I know that he would have approved of. Also, I'd be a bit scared of spending that much money on anything at the moment, even the thought of spending that amount of cash on a deposit is a bit weird.

On another note, is there anyway that I could invest that £10k in something that I know that I will definitely be able to recall at a moments notice, and make money on it still? Investments, bonds, shares, that sort of thing?

[greygoose]

Most instant access accounts pay rubbish interest rates at the moment, premium bonds will return your money quickly if you need to cash them in but the returns are not very good (though you may win a million), shares can be sold quickly but you have to pay to buy and sell them and their price can go down as well as up, it depends how comfortable you are with risk. Cash ISA is probably the safest option.

[Jules360]

jdw1234 said:

Jules360 said:

jdw1234 said:

As above.

Don't waste it on cars, shiny tat, going out or anything made by Apple. You will regret it.

Put it somewhere low risk if you are not yet at the stage in your life when you own a house.

If you do not wish to own your primary residence then invest it in a way to generate some sort of income to help pay your future rent payments.

I have never regretted buying any car, shiny stuff or Apple products

Good for you. However, I would assume £10k isn't a lot of money for you.

From the chaps post...

"I can appreciate it's not the largest sum in the world, but it is the most money I've had before, and I don't want to waste it!!"

If you enjoy cars, shiny stuff and Apple products, then I don't regard buying them as a waste. Or you could stick the money in a deposit account and sit at home bored watching it grow 100 quid a year if you are lucky.

But maybe it's just me.