Relying on inheritance deemed risky

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A new study has warned that expecting to receive an inheritance is too risky and can cause financial trouble.

The research – conducted by wealth management firm Sanlam UK – found that four-fifths of Londoners aged between 24 and 25 expect to be handed an inheritance from parents or grandparents.

Over half of respondents who anticipate an inheritance expect at least £50,000. Relying on inheritance as a financial strategy is extremely risky.

Almost half of the survey’s respondents worryingly admitted they are putting off saving because of their expectancy at receiving an inheritance.

A fifth said they would use inheritance to pay off debts – but it’s very risky and not advised to put off repaying debts.

In order to be financially prepared, experts advise having three months’ salary saved, which will see you through emergencies and any unforeseen costs.

Regularly saving money and developing good habits with money is crucial, and any inheritance should be seen as a bonus, not a guaranteed financial strategy.

Could I be in for an inheritance I’m not aware of?

There are 74 unclaimed estates in London this year so far. Unclaimed estates occur when someone dies with no known next of kin or will.

The total of unclaimed estates in London is now up to 2530.

Check surnames on the updated list of unclaimed estates: https://www.bonavacantialist.co.uk.

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