With a CAM mortgage (Current Account Mortgage), you combine all your borrowings and savings into one account, offsetting the amount you owe on your mortgage with your savings, which could save you money. With a CAM mortgage, rather than paying off your mortgage debt by making monthly repayments, any money paid into the account reduces the amount you owe.
Benefits of a CAM mortgage include:
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All-in-one finances: You will have to get used to seeing an account that seems as if it is many of thousands of pounds overdrawn, but your CAM mortgage lender will be able to show you how your finances work and how your mortgage debt is actually reducing.
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Cheaper borrowing: One of the biggest advantages of a CAM mortgage is that it makes borrowing cheaper; unlike some offsets, a CAM mortgage allows all borrowing to be conducted at one single mortgage interest rate and this is likely to be considerably lower than personal loan rates, credit cards and overdraft charges.
To find out more about CAM mortgages, or to speak to an advisor about whether a CAM mortgage is right for you, click on the link below.