Current account mortgages

Current Account mortgages have erupted onto the mortgage scene to much applause. The fundamental concept is simple:- they allow an individual to borrow money to purchase a property and link the mortgage debt to their own bank account. The advantages are significant – any influx of funds to the account, such as salary bonus, share dividends immediately reduces the outstanding balance of the loan. As interest is calculated daily (in most products) this results in lower interest charges. This in turn allows a shorter mortgage term, resulting in less interest paid over this shorter term. Th...