Off-setting v overpaying... help!

jamesd

Bernie, how does the interest rate on your mortgage compare to the alternative cash ISA rates that are available?

With 5.93% available from Ruffler I'm a bit surprised that you haven't moved all of your ISA/TOISA money there and switched to paying interest on your mortgage and making interest on your ISAs.

Bernie

...but I've lost track of the interest rate I "pay" at IF because I don't, if you know what I mean.

I've had a quick look at IF's current rates and they look about the same as the Ruffler Bank. I appreciate there is an financial advantage, albeit slight, in having ISA outside the offset while an ISA rate is higher. However, this situation could turn round in an instant...

We are already wised up to the Ruffler (thank you MSE) and have already transferred the Wife's ISA there, soon to be followed by her TOISA once we've deposited a few more bob into IF.

About to get the wife to open another ISA with IF and transfer £3,000 within the offset. Makes no difference to the offset, same money in the same bank, just another £3K moved out of reach of the taxman for later on...

:beer: