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Offset mortgage with the Royal Bank of Scotland
BirnamBear
Posts: 126 Forumite
I have an offset mortgage with the RBS and I have 17k in the saving accounts which is offset v the mortgage.
I just wondered does a stage come when you could potentially have too much cash in the saving accounts and would it be better elsewhere rather than offset v the mortgage.
thanks in advance
BB
I just wondered does a stage come when you could potentially have too much cash in the saving accounts and would it be better elsewhere rather than offset v the mortgage.
thanks in advance
BB
12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.
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Comments
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When the mortgage rate is less than you could earn on a savings account after tax, or a cash ISA.
So what's your mortgage rate?0 -
opinions4u wrote: »When the mortgage rate is less than you could earn on a savings account after tax, or a ch ISA.
So what's your mortgage rate?
Shame faced to say.....Don't know...at work just now but will check once home.
cheers :beer:12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.0 -
opinions4u wrote: »When the mortgage rate is less than you could earn on a savings account after tax, or a cash ISA.
So what's your mortgage rate?
Interest rate I'm paying is 4%.12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.0 -
You would need to lock a portion away in a FRISA for 4+ years to beat 4%, and if mortgage rates rise during that time you would be worse off.5/10/12 : Mortgage Free
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Jock_Tight wrote: »You would need to lock a portion away in a FRISA for 4+ years to beat 4%, and if mortgage rates rise during that time you would be worse off.
So keep putting any spare cash into the offset savings accounts then ?12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.0 -
BirnamBear wrote: »So keep putting any spare cash into the offset savings accounts then ?
If it were me, yes.
If ISA rates pick up in the next few years then you may be able to take advantage of them, however still depends on what rate RBS set.5/10/12 : Mortgage Free0 -
Jock_Tight wrote: »If it were me, yes.
If ISA rates pick up in the next few years then you may be able to take advantage of them, however still depends on what rate RBS set.
Would there come a point where it would be better using 10k to reduce the capital owed ?12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.0 -
BirnamBear wrote: »Would there come a point where it would be better using 10k to reduce the capital owed ?
I'd never reduce the capital owed as that money may not then be available for you to draw on should you need it in the future.
You won't pay a penny more by keeping the money in your offset savings rather than paying the mortgage off.• The rich buy assets.
• The poor only have expenses.
• The middle class buy liabilities they think are assets.0
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