Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

mortgage interest

Options
  • 13-11-2009 8:05pm
    #1
    riffraff2009
    Registered Users Posts: 20 ✭


    i have a variable re-mortgae of 120k with Bos , current variable rate is 6% gross . i get 75e a month motgage interest relief .
    i have 35k savings , am considering depositing into notice dep acc with permtsb , with 3.5% interest apr variable .
    Can anyone work out if i'm better off putting 35k off mortgae , or depositing into savings ?


Comments

  • Options
    #2
    chris85
    Registered Users Posts: 4,502 ✭✭✭chris85


    obviously get the money off the mortgage, always clear loans with higher interest first. But the Bank may charge extra for lump sum payments into mortgage as deal signed for so many years for so much interest.

    Not too big up on lump payments into mortgages so someone may be able to help you on this


  • Options
    #3
    themoneyguy
    Registered Users Posts: 75 ✭✭themoneyguy


    There is no problem making lump sum payments to your mortgage as long as you arent on a fixed rate. Taking the interest rates into consideration you would be much better off.
    Make sure the bank doesnt reduce your repayments after lodgement tho....ensure they reduce your term in line with the reduction in balance


Advertisement