mortgage or isa

sportytaxi

I think this is the right thing to do here goes:

isa savings are 14k

repayment mortage fixed 10yrs 7yrs left to run at 5.28%,total years left 18

its a mortgage which a reserve pot facility as you pay ur mortgage you can use the reserve pot if you need too at mortgage rate( i never have!! currently at 16k if i need to use it.)

can overpay 5% a year mortgage balance is £118,000

so as intrest rates are very poor,it makes sence to me to overpay with my isa cash,this will save me loads in intrest right??.and if i do ever need extra cash i can use the reserve pot thanks to the woolwich, barclays have to continue it.

would any one consider this or shall i just keep my isa going?

not going to make much intrest ,so save intrest on my mortgage and make it shorter in years??

any advise will be great,thanks all

dunstonh

I've done both. I have put a monthly overpayment in place for my mortgage for £150pm and upped my regular contribution to my ISA to £300pm (although I tended to use my ISA allowance more anyway but so my pension will probably be the main beneficiary this year or unit trusts).