Using remortgage funds for savings

jdw2000

Putting the money in a S&S ISA would be my preference. Away from the tax man, and better chance of making money than a savings/current account.

swindiff

I remortgaged with Santander as an existing customer about 6 months ago. 1.99% fixed for 2 years no fees at all

Thrugelmir

Have your asked your mortgage lender if they will release £50k at such a low rate of interest for the purpose you describe?

There's your first hurdle.

Second hurdle is the debt would need to be repaid. So you'd need sufficient cashflow to fund repayments. Meaning tying up your cash in any form of fixed investment wouldn't necessarily be practical.

Deneb

I have had for several years now a mortgage at base rate plus 0.99 per cent. The funds to repay it are currently in a fixed term ISA earning over 3 per cent. Should bank rate go against me I have the option to repay it from elsewhere, but I have managed to profit from the arrangement since 2008.

meshers4

Thanks for all the replies. It would seem that there is "potential" to make a profit by this method however as people have stated, it would involve a lot of leg work getting a good remortgage deal and then spreading the funds around in order to maximise the best returns. It was just something I was wondering about whilst thinking of ways to potentially make some extra £'s, and I appreciate all the comments from everyone as it has highlighted lots of things that I hadn't thought about. Thanks everyone.