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paying off a morgage

I owe about £9,000 on my morgage. Would i get a early finnish payment i have 2years left to run. I have £30,ooo in a Halifax 2year bond which pays my wife about £164-00 every month in interest should we pay off our morgage or reinvest our money in febuary[2009]. Thanks rugbypost

Comments

  • If it was me I would clear the mortgage but...
    To be honest I think this has to be a personal decision
  • opinions4u
    opinions4u Posts: 19,411 Forumite
    What rate are you paying on the mortgage?

    Are either of you non-taxpayers?

    If you can get a higher rate by using up your ISA allowances, this would be a better option.

    e.g. mortgage rate of 6% = £540 a year interest.

    £9,000 in ISA at 6.5% (£3,600 each in Feb, a further £900 each in April) = £567.50 a year interest = more than the mortgage.

    The ISA example also gives you access to the funds for other purposes if needed.
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