Offset the pain of poor savings rates by cutting your mortgage | Mail Online
Continuing poor interest rates on savings accounts are encouraging more homebuyers to consider offset mortgages.
This is because the gap between mortgage and savings rates remains high. Offsets link your savings, and sometimes your current account, to your home loan.
Rather than earning interest, funds on deposit are set against the mortgage, cutting your balance and interest bill and effectively providing a ‘return’ equal to your mortgage rate.
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