We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Personal Loan vs Mortgage Overpayment Loan Back
Hi
I want to borrow 15,000 over 30 months which currently will cost me 2.8-2.9% circa £560. I have also been over paying my mortgage to bring it to an early conclusion and have a very healthy surplus (6 years to run so I am well into paying the capital). My mortgage is a Life-time tracker at 2.3% (unfortunately there was a ceiling, my bad luck). Would I be better of borrowing the money back from my mortgage surplus given that interest rises do not look likely in the short term, I have tried to do the maths but it is blowing my mind a bit as I am not sure the interest is calculated in the same way.
I want to borrow 15,000 over 30 months which currently will cost me 2.8-2.9% circa £560. I have also been over paying my mortgage to bring it to an early conclusion and have a very healthy surplus (6 years to run so I am well into paying the capital). My mortgage is a Life-time tracker at 2.3% (unfortunately there was a ceiling, my bad luck). Would I be better of borrowing the money back from my mortgage surplus given that interest rises do not look likely in the short term, I have tried to do the maths but it is blowing my mind a bit as I am not sure the interest is calculated in the same way.
0
Comments
-
I have to make a decision on this shortly so if anyone has any suggestions it would be much appreciated....0
-
I don’t know the answer, but if you haven’t already done so then I’d consider posting on the mortgages board as well.1
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.7K Banking & Borrowing
- 253.8K Reduce Debt & Boost Income
- 454.6K Spending & Discounts
- 245.8K Work, Benefits & Business
- 601.8K Mortgages, Homes & Bills
- 177.7K Life & Family
- 259.7K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 37.7K Read-Only Boards