Money to invest or save

plunt

Hen_Step wrote: »

IMHO

Pay off that mortgage.

that doesnt make sense....

earn 4% in the banks and keep your mortgage at 1.25%..... only worth while if you cant get higher interest in savings than your mortgage. at which point go for an offset account.

Newbie2saving

Noktok wrote: »

I'm interested in going the DIY fund portfolio route for my stocks & shares ISA. Is Hargreaves Lansdown the only/best provider for this or are there any alternatives I should consider?

There are others to consider, Fidelity, Cavendish etc, search fund supermarket. I did consider the others and decided on H-L. They have met my needs perfectly. If I ever have a problem (mine due to lack of knowledge as a newish investor) they have been more than helpful and understanding. The online system is great. Also start looking at other sites for knowledge & info, trustnet, morningstar uk, try a couple of books. I bought a couple (Tim Hales and FT Guide to investing, 1st better than the latter) and I feel they were money well spent. Good luck.

Hen_Step

plunt wrote: »

that doesnt make sense....

earn 4% in the banks and keep your mortgage at 1.25%..... only worth while if you cant get higher interest in savings than your mortgage. at which point go for an offset account.

As I stated, "in my opinion".
If I could afford to pay off any debt I would do that first.
I have had no mortgage to pay for 9 years.
And it's a good feeling.

You never know what is around the corner.

Noktok

I agree with you to a great extent. We have faithfully made overpayments on our mortgage every year with the intention of paying it off as soon as possible. However, with the rates currently so low I agree that it seems foolish not to take advantage of the opportunity to make better returns on the money elsewhere first. When the rates rise I will certainly look into paying it off again.


What are the benefits of having an offset account instead of paying off the mortgage?