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Offset Business with personal Mortgage
teddie2003
Posts: 57 Forumite
At the moment I have a 38K mortgage over 25 years, started in '98, interest only with Nationwide, paid back, hopefully, with a savings scheme of £75.00/month over 25 years spread through 3 schemes .
As I'm a self employed sole trader, most of my capital/savings is in my business account.
Business bank (NatWest), has suggested starting a "new product" their offset banking for business scheme as a way to pay off mortgage quicker.
House is now worth 140K, average offset through business approx 7-10k. Mortgage to run for 18 years, and hopefully paid off quicker with the offset scheme.
They will give discount rate of 4.65 for first 3 months & then 5.65 offset flexible mortgage variable rate (todays rates).
Bank suggests that it is a "win win" situation for me.
Any thoughts out there on this type of scheme, is it as simple as they suggest to link my business funds to a mortgage?
Or are there any other routes to look at so that all my eggs are not in one Natwest Basket ?
As I'm a self employed sole trader, most of my capital/savings is in my business account.
Business bank (NatWest), has suggested starting a "new product" their offset banking for business scheme as a way to pay off mortgage quicker.
House is now worth 140K, average offset through business approx 7-10k. Mortgage to run for 18 years, and hopefully paid off quicker with the offset scheme.
They will give discount rate of 4.65 for first 3 months & then 5.65 offset flexible mortgage variable rate (todays rates).
Bank suggests that it is a "win win" situation for me.
Any thoughts out there on this type of scheme, is it as simple as they suggest to link my business funds to a mortgage?
Or are there any other routes to look at so that all my eggs are not in one Natwest Basket ?
Val 
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