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Offset Mortgages

Make your savings work for you with an offset mortgage...

Offset mortgages allow you to link the balance of your mortgage and any other borrowings you may have (such as credit card debts or personal loans) to money held in savings or current accounts with the same lender.

This allows you to ‘offset’ the credit balances in your current and savings accounts against the mortgage balance, so that interest is only paid on the difference.

For example, if you have a mortgage of £120,000 and savings of £20,000, you will pay interest on only £100,000 of borrowing.

You will not earn interest on your credit balances under this arrangement, but the amount of interest you are charged is reduced, offering the possibility of making substantial savings or paying off your mortgage earlier.

Initial Rate	Type	Period To	Provider	The Overall Cost For Comparison APR	LTV
N/A	Offset	Jul 2034	Beverley	5.00%	75%	More
3.19%	Offset	Jul 2011	Scottish Widows Bank	4.00%	60%	More
3.19%	Offset		Marsden	5.00%	60%	More
3.24%	Offset	Jul 2034	Woolwich (Barclays)	4.00%	60%	More
3.38%	Offset	Sep 2012	Coventry	4.00%	65%	More
3.75%	Offset	Jul 2034	Abbey	4.00%	75%	More
3.89%	Offset	Jul 2034	Hinckley & Rugby Building Society	4.00%	70%	More

Powered by Defaqto (Disclaimer)

*for existing customers only

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

The advantages of an offset mortgage include:

Flexibility: these loans offer the option to overpay, take a break for a set period from your mortgage payments, or even borrow back cash from your mortgage
All your money works for you; every penny in your savings or current accounts helps to pay off your loan earlier
By saving interest on your mortgage rather than earning it on the money in your current and savings accounts, there is no tax to pay
Your accounts remain completely separate and you can still access your money just as you normally would

See the table above for the latest offset mortgage deals, or to get a quote on an offset mortgage, complete our simple enquiry form by clicking on the link below: