For those people who do have some savings, the recent cuts in interest rates are certainly not good news.  However, by offsetting their savings against their mortgage, customers could benefit by savings thousands in mortgage interest and also cutting their mortgage term by years.

Competitive savings rates are a distant memory for many savers in the UK and savers are struggling to find a decent return.

Offsetting is popularly believed to be rather complicated, however, it does not have to be and doesn’t require huge savings in order to benefit.

According to, 1.6 million consumers still do not know what offsetting is and a million believe it is too complicated for them to use.

Offsetting is slightly different to making overpayments on a mortgage because the customer always has easy access to the money whenever they want, plus the money is not taxed.  Reportedly, 1.4 million people think they would not have access to their savings if they offset it against their mortgage.

Offset mortgages is only a small part of the CeMAP syllabus but it is important that delegates understand them.

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