fd offset mortgage - offset or lump sum payments?

allan673

whu wrote: »

I have a 5 year at 5.29% and I think the offset is a great flexible facility- good luck in paying it off Allan

hi whu - i remember you from the original fd thread last year.;)

allan673

whu wrote: »

I think you have done well to get the 10 year at 5.19% - even though it's relatively high at the moment it will even out and I think will prove to be a good rate

im hoping so whu, 5.15% seemed great at the time and is still ok for a 10 year fixed rate - i guess only time will tell.
i went for the security of knowing what my repayments will be.
take care

Little_Mama

Hi allan673,

Like you I pay amounts off the mortgage for the psychological effect of seeing it go down, however, if I get a payment in of £155 (purely for an example), I'll pay £100 to savings and £55 to mortgage, both do the same job but I see my savings pot go up and my mortgage go down and I'm a happy girl

LM

dimbo61

Well done on taking a long term view on your mortgage and having security for the next 10 years of knowing what you mortgage rate will be 5.15%
Any overpayment/savings put into the mortgage account will save you 5.15% tax free and the more you can overpay the lower your effective rate is on the balance so if you can get saving and overpaying as much as possible.
GOOD LUCK