Should I -v- Shouldn't I?

tootncarmen

If I've got enough savings (and not all tied into shares etc) should I be considering paying off my mortgage? I've got about £36k left over 11 years. I think I can muster up enough to pay it off. The plan being to put the £400 per month I am currently paying towards the mortgage into a savings account. Mmm, should I?

ailuro2

If your mortgage interest is more than you can make on your savings, then it makes sense to pay it off,then restart your savings at as high a rate as you can get.

If,however you are in the rare position of earning a higher rate on the savings you have then, they are making more money for you, so you would wait until the balance tipped the opposite way before paying it off.

It would be great to be mortgage free though, whatever the rates you are on! :beer:

tootncarmen

Thanks, I probably know that it makes sence to do it. But I'm just not sure about using up all my savings on becoming mortgage free. You can tell I'm not very good at this money-business! LOL