I know Im silly BUT....

Sun-Is-Fun

Pay a large chunk off the mortgage with all your savings - you're losing money at the moment with the mortgage, i.e. your savings interest rate is lower than your mortgage rate ! Tht would leave a mortgage of just £13,000 (Nice !). Try to pay as much of this off with your wage each month. If you're careful, you could have your mortgage paid off in a year or two (even nicer !)

Milarky

It probably doesn't apply here, but what no one has mentioned is that ISAs are offsetable if you have an offset mortgage in just the same way as taxable savings would be. In the current rate climate people with offest mortgages and ISAs should be taking advantage of this. I think 'IF' (a division of Halifax) do this but, as I say, it depends on the type of mortgage one has..

(Nice if HMG, in its rush to 'save the banks' could make 'offsetting' obligatory on mortgage providers - eg you'd sign a form with the bank or BS and interest stops being paid on your savings account(s) until you sign a second form to cancel...)

opinions4u

Milarky wrote: »

(Nice if HMG, in its rush to 'save the banks' could make 'offsetting' obligatory on mortgage providers - eg you'd sign a form with the bank or BS and interest stops being paid on your savings account(s) until you sign a second form to cancel...)

Does rather erode the profit margins though!

Offsetting is a niche product that requires more debt than savings for the provider to succeed. The only problem is that the shortfall has to be funded by the wholesale markets ... oh dear!