Offset tracker mortgage

kevvyb_2

Hi

Am in very fortunate position of being able to nearly clear mortgage with a lump sum windfall.

However the offset mortgage we have has draw down facility so we can draw on it should we need a big lump sum for something. We anticipate using this.

Mortgage has 25 year term with 20 to run. We want to retain the draw down facility so intend not to pay it off completely.

Can the bank force us to close the mortgage down before the end of the term?

Thanks in advance.

getmore4less

Just offset don't overpay, offset can't be removed but overpayment drawdown can.

Costs nothing then to have the money available at mortgage rate.

what's the rate might be better saving elsewhere,

We cycle offset money through monthly savers that pay more than the mortgage rate.

kevvyb_2

so you mean if we reduce the outstanding amount by over payment the bank might then refuse to allow us to draw down again at anytime before the end of the term?

getmore4less

What sort of offset is this, which lender?

Not all are true offsets

eg The One Account is just a large OD.

if yours has a separate savings account then that is your money.