Offset Mortgages
Offset mortgages has grown in popularity in the last 5 years, and they now represent 12-18% of the new lending market. Offset mortgages are now offered by more than 25 of the leading banks and building societies.
Offset mortgages are where your savings and mortgage borrowings are linked together or “offset” against each other. This means that you pay less interest on your mortgage, helping you to repay your mortgage more quickly and therefore, more cheaply.
A benefit of an offset mortgages, is that it can take other debts such as loans and credit cards and link them in, providing there are from the same lender as you mortgage. This allows you to repay all your debts at your mortgage rate (which is likely to be lower than other product rates).
