Should I ditch my one account? Advice needed!

freaksaver

Hi All

I have a one account which is now on a variable interest rate of 6.55%. I am not sure where to begin with finding out if this is a good rate or not and the other issue that I have is that as the housing market is so rocky at the moment I am not sure if now is a good time to get a fixed term mortgage.

I am also a stoozer and have approx £20,000 which will need to be repaid at some point early next year and I dont feel brave enough to put it towards my one account account! Any views?

Thanks guys and gals

Freaksaver

ailuro2

The stoozepot could be earning 6.55%, that's the good thing about any account where you can have unlimited overpayments, or their equivalent.

How much is the mortgage outstanding for, and how much would be gained compared to the arrangement fee? That's the question you need to ask yourselves....

getmore4less

Well the One Account is not the best offset around but you have to factor the costs of changing to see if you should or not.

What I would ask yourself "is an offset right for me" if you have a stooze pot and it is not offset then you are just not using the offset for one of its main purposes offset money that would earn less elswhere.

It may be that an offset that has mortgage account(on normal repayment terms) and offset accounts savings/current) is a better fit for your style of money managment so you see your stooze pot seperate.

At the last check a few days a go there were plenty of offsets at <6.0% so will undercut the 6.55% you are cuurently on.

If you are not 100% sure why you have this account then I would work on that issue, then you can decide what is best for you once you understand what it is you want to achieve and the best way to do it.