Should I pay my mortgage off now

popsy20

Hello, my husband and I have a £33,000 mortgage taken out in 1997 with Nationwide.

I have just been checking our savings and we have just over £20,000 between us in ISAs. I would love to be mortgage free - even though this is not a huge amount in this day and age but what is the best thing for me to do? I'm not sure how much the endowment is worth yet but we have been told there could be a huge shortfall in any event which is why I just want to pay it off now.

Any advice would be greatly appreciated.

:D:D:D:D:D:D:D:D:D:D:D:D:D:D:D:D:D

Griptool

Look into cashing in the endowment and setting up an offset an mortgage.

If you go 100% offset it effectively means the mortgage rate becomes your tax free saving rate

apk1

If you only have 5 years left on the endowment, depending on wether it is with profits or not, it would probably be worth holding onto, I would suggest switching to an offset also, but be careful about arrangement fees, effectively you will have a £13k mortgage so rate is not too relevant, but £1k fees would be the equivilant of about 6-7% of your mortgage, find a fee free offset remortgage package.

sammyjammy

Do you need access to the savings or do you have other savings for emergencies/rainyday, if it was me I would switch my mortgage to someone like ING that don't charge any fees and you can overpay as much as you like, when the mortgage was agreed I would then repay the £20k and pay as much every month that I could until the whole thing was repaid.

Not advice - just what I would do!

Sam