Barclays - Woolwich Offset Loophole (Shhhh keep it quiet)

MarillionFan_2

As you aware Offset mortgages allow you to take off whats in your bank account against your mortgage and only pay interest on the difference.

Now even though Barclays owns the Woolwich it doesnt necessarily mean their systems work together perfectly.

I tend to use credit cards to offset against my mortgage and I still have a number of 0%, no fee cheques from Capital one which I pay in to my barclays account. I have a limited of £10500 and effectively get 50 odd days off interest knocked off my Woolwich account.

Barclays update Woolwich with a daily balance which the Woolwich then use to adjust the mortgage balance.

About 4 months ago I accidently wrote the cheque out for £15000 not £10500 and about 10 days later got a £12 fee from Capital one for exceeding my limit.

Imagine my surprise when at the end of the month I got my woolwich statement. The balance showing, showed the uncleared cheque, in addition, it also reduced my mortgage by £15000 for about 7 days). I actually made an overall profit!!!

This was never sorted out and has never been removed, so from a technical perspective the datafeed is obviously only one way.

Shhhh. Don't tell them Now if I just bounce a cheque for £100k for a week.............