Compare offset mortgages
With an offset mortgage you could make your savings work for you by having them held in an account attached to your mortgage account. An offset mortgage comparison will help you understand where you could make savings. To get value and performance from an offset mortgage, you need to put something back in, your savings!
Do I need a six figure sum of savings to make an offset mortgage work?
While you might not have hundreds of thousands of pounds, the more savings you have, the more interest on those savings there will be to offset against the interest on the offset mortgage. Hence the name ‘offset mortgage’. When you earn interest on your savings and that interest is offset against mortgage payments, the interest on your savings is not taxed, which is another way the offset mortgage helps maximise the performance of your savings.
Is an offset mortgage right for me?
If you have savings that you want to make work for you, an offset mortgage could provide a flexible solution that could help you lower your bills overall by reducing the amount of interest you pay on your offset mortgage. If you have less than £10,000 in savings, or if you have more, but are planning on spending some of your savings in the future, consider another flexible mortgage, such as a tracker mortgage or an interest only mortgage that allows you to overpay. However, if you do have savings that you won't particularly need to touch for the foreseeable future and you're purchasing a home, an offset mortgage could provide a great way of protecting your savings while minimising your mortgage interest payment. The end result: Lower bills!
If you have a lump sum of cash and the discipline to leave it alone while it works for you, by reducing your mortgage interest payments, do a mortgage comparison now and look for the savings the best offset mortgage could offer you should keep your savings in an Individual Savings Account (ISA) with the mortgage provider.
Experian® - the company behind LowerMyBills - also provides CreditExpert, which gives you access to your credit report and score enabling you to see what lenders see about you when they make a decision about which financial products or services are available to you.
The LowerMyBills.co.uk mortgage service is provided by BeatThatQuote.com Ltd, an appointed representative firm of Best Value Financial Services Ltd which is authorised and regulated by the Financial Services Authority.
YOUR HOME OR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
You might also be interested in...
Back to Top