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Should I?
beemarman
Posts: 32 Forumite
Just wanted advise on what to do.
I have about £120k from an Insurance policy that's just paid out for an illness i had.
My mortgage is currently £110k at 0.35% above the BOE rate. I have the money in a fixed account earning about 3.5% per year.
I'm currently paying £560 per month on my mortgage and in the last 3yrs I have paid more than £10k off the mortgage.
What i would like to know is, would it be worth me paying my mortgage off, or should I just leave the money in the fixed account until interest rate goes higher than what I earn in the bank?:D
I have about £120k from an Insurance policy that's just paid out for an illness i had.
My mortgage is currently £110k at 0.35% above the BOE rate. I have the money in a fixed account earning about 3.5% per year.
I'm currently paying £560 per month on my mortgage and in the last 3yrs I have paid more than £10k off the mortgage.
What i would like to know is, would it be worth me paying my mortgage off, or should I just leave the money in the fixed account until interest rate goes higher than what I earn in the bank?:D
0
Comments
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Leave it in the savins account until your interest rate becomes 2.8%0
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It's earning more so leave it where it is.RosieTiger - Highest £242,000 Feb 2004 :mad:
Lightbulb Dec 2008 £146,000 by March 2026:eek:
MFi3T2 and T3 No 28 - Dec 2009 Start Balance £117,000
Current Position-Fully off set by savings since March 20130 -
Definitely leave it where it is!
A nice dilemma to have, but I'm sure you would have preferred not to be ill in the first place.Borrowed £150,000 in an offset tracker mortgage in May 2007 - MFD May 2041 (67)
Jan 2012 - £125,620.02 / 2,913.87 / Nov 2032 (58) :beer:
Apr 2012 - £122,901.88 / 3,170.91 / Jul 2032 (58)
Jul 2012 - £122, 589.02 / 3,507.99 / Sept 2032 (58)
Oct 2012 - £120,476.31 / 3,889.42 / July 2032 (58)0 -
Hi Guys !!!
You are not looking at the big picture!
What happens if you lose your job or due to ill health cant do it any more ?
If you have over £16K in savings the nice benefits people want you to live off your savings until they are down too under £16K.
So you have the chance to clear the mortgage and have £10K in the bank ( no ERC,s ?)
You would be MF and not have to worry about the BOE base rate going up and could start putting the mortgage payment into savings for retirement/ world cruise/ that motorhome ETC
Work part time , easier job as no mortgage to pay0
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