Support for Mortgage Interest (SMI) awarded, but...

rockingbilly

skcollobcat10 wrote: »

People have all different mortgage types the ones who have an overpayment Mort who can borrow back might be in a good position.

To me the Mort is main debt overpay if poss and then you can feel safe you have roof over your head come what may.

Security of having a roof over your head is very important. The ironic thing about that, and after overpaying/settling the mortgage is that you are effectively living inside a bank vault. The house around you is a valuable asset that you can do very little about.
This is much like sitting in your bath with £50 notes. You can't spend it, but you can sit in it.
I wont go any further other than to say that the odds of you actually keeping and giving it to your nearest and dearest when you die is slim.
So sometimes it is far better to live in a rented property and either spend your wealth or give it away during your lifetime.

Lotuselise

All mortgage interest payments are sent directly to your lender by the DWP, unless your lender is not part of the scheme agreed with the DWP. How do you find a list for the scheme of lenders? Or does this money then get paid to you directly, if your lender is not on dwp scheme agreed list of lenders? Can anyone help?

[Deleted User]

You ask your lender, if they are not a member and most main lenders are, then the money is paid to you.

There is one other point to keep in mind and that is they pay your mortgage every 4 weeks i.e 13 payments a year, whereas you normally pay it 12 times a year