one account qeustion

claretgaz

im looking at the One Account, ive just done the online mortgage calculator, it seems a little to good to be true, i want to borrow £62000 over 18 years, i have £6000 savings that i can put in, at the end of each month i have around £1000 left in my account, the calculator is telling me that i will have paid off my mortgage in something like 4 years.

This seems to good to be true to me, the only thing im concerned with, is the amount left in my account at the end of each month isnt accumalative, its the same £1000, so will this effect the time it takes me to pay it off, is there anyone who can give me any info on this before i ring them up on one of those expensive phone numbers, cheers.

Gary

Gorgeous_George

You need to repay about £1,490 per month to repay £62K in 4 years at 6.35%. Is that how much you would be committing to repaying the mortgage?

The OneAccount is not some magic money-making machine.

The truth is that most people have insignificant sums of money leftover in their current accounts each month. Most people have savings of less than 10% of their mortgage. For most people, the OneAccount is pants or at best, no better than an offset mortgage.

GG

claretgaz

Thanks for that, i thought it seemed too good to be true, the monthly payment on the calculator is around £480, but it is still telling me that i would (with the figures i quoted on the first post) be paying my mortgage off in 4 years or so. im still a bit confused as to where it asks me 'what is left in your account at the end of each month' as i say, its around £1000, but its the same £1000 each month, not acumalitive.

Gorgeous_George

It wants to know how much you can overpay by EVERY month. It is not very clear.

GG