I have an off-set mortgage with Intelligent Finance of about 100,000.
There is a possibility of my parent's moving to a smaller house and gifting me in excess of 100,000.
If I kept more than 100,000 in my Intelligent Finance savings account what is the situation with my mortgage?
Thanks for any advice.
Adrian
Nothing special. Instead of paying interest on the excess of loan over savings, you earn interest on the excess of savings over loan.
But you do so at the savings interest rate, which will be less than the loan rate, and it will have income tax retained at source unless it's a cash ISA.
Ronald,
Thanks.
Adrian
Have something to add? Share your thoughts — no account required.
Ask the community — no account required