First Direct Offset

pennywatch

I Have a first direct offset mortgage and am tHinking of making an over payment of 20000

If I do this is it possible to borrow some of this back at a later date or not- and if so how easy would this be to do?

I know the money could sit in my account and offset against the mortgage but would prefer not to have the temptation at present.

Thanks

Thrugelmir

Be surprised if an offset product allowed draw down of over payments made.

jaybeetoo

I have a FD offset mortgage and I can pay money in and take money out as I please.

If you have a spare £20k you can pay it in one day and transfer it out the next.

Just give FD a call and they can confirm your offset works the same way.

Sorry to surprise you Thrugelmir!

getmore4less

Thrugelmir wrote: »

Be surprised if an offset product allowed draw down of over payments made.

That's the way Barclays has worked for years, any overpayments became an increased Overdraft limit on the linked current account(at the same rate).
Great if you ever needed benefits because you could convert a savings account into a OD limit.

They have been trying to limit this for most borrowers but it still exists if you resisted the changes


With offset not much point in overpaying as it does not save anything over offsetting unless you want to reduce your savings for other reasons.

anselld

pennywatch wrote: »

I Have a first direct offset mortgage and am tHinking of making an over payment of 20000

If I do this is it possible to borrow some of this back at a later date or not- and if so how easy would this be to do?

I know the money could sit in my account and offset against the mortgage but would prefer not to have the temptation at present.

Thanks

As stated above. It is all visible in online banking you can pay or draw down at the lick of a mouse.

If you already have an FD offset test it yourself in online banking using a smaller amount to start with.

jaybeetoo

getmore4less wrote: »

With offset not much point in overpaying as it does not save anything over offsetting unless you want to reduce your savings for other reasons.

With my FD offset, I put overpayments into the mortgage account so I could see the mortgage amount reducing and it kept the money separate from the offset accounts where I might be tempted to spend it!

pennywatch

Thanks all