Terminal Investments


Why don’t you borrow on your property to the max and use the additional funds to deliver higher returns than the 2.14%?


Balance of risk and investment spread.


To split hairs, I said it was good advice rather than good investment advice.

However if you want a challenge, give an example of something better (rather than just a different risk profile) than index linked at base+1.74% post tax with instant access and minimal risk.






I see. Well, clearly the discussion above was about investing rather than effectively comparing instant access accounts, however something like Zopa Core offers (sort of) instant access and currently 3.9% which is enough to cover a higher tax rate payer’s tax on savings measured against a 2.14% mortgage. Moreso for a lower rate payer.

Obviously, as you move into more traditional, longer term investments then there are more choices available from other mainstream financial products through to the riskier ‘fun’ stuff like wine.


A very good mate of mine went into wine in a big way £160K worth, very risky and you have to absolutely trust the dealer or your opinion. In his case, he did it as a risky venture to make up his pension shortfall. The gamble failed as he just about got his money back and it’s sometimes difficult to sell at the right price.

Today I have mainly been

I fucking knew there’d be wine investment story just around the corner.



Yep, I advised him to not do it and to just buy a property and get some income. Hey, what do I know? He’s a salesman and a risk taker, which is why he has a £430K mortgage that is interest only so he can use the capital money on risky things. Trouble is he is 54 now and fuck all pension, getting divorced after spending £200K on his soon to be ex-wifes business that went bump.

His parents are the same, they managed to splurge £3M and turn it into £250K via a boat.


Just to expand on this - I just had a quick look at some current offsets. They mostly seem have a couple of years fixed around 1.6% then revert to an SVR of 4.7%. So the answer would actually be - get a better mortgage.

Instant access to large sums of cash would appear to be their only merit (which you will pay for handsomely with the crap interest rate).


This is true.

We dealt with the mortgage in Australia. You could overpay to your hearts content there. If life went tits up, you could withdraw the overpayments, so it was a very secure strategy. This was particularly true in the booming market in Melbourne. Mortgages in the UK with similar structures are feckin’ expensive and the break costs appeared prohibitive so we paid cash. That was fucking painful.


Yep. Considering you can now get an unsecured personal loan of up to £25k at 2.8% and pay it back over 5 years, offset mortgages have become very niche.


My uncle said “no other animal retires. they stop working, they die” :+1:

My aunt eventually managed to get him to retire :stuck_out_tongue: he’s enjoying himself and is in pretty good nick for 87. Walks about 15 miles a day as far as i can tell


Haha, my dog was born retired. The lazy cunt.


Unless you jumped in at 1.74% above base a couple of years ago, then it does work. First Direct are normally a lot cheaper than other offset mortgages, partly through not aiming at the Ninja market and partly through HSBC being funded through Mexican drug transactions rather than governments post credit crunch.


animals in the wild :wink:

that is a very good point :stuck_out_tongue: :joy:


They’re 2.8% on 60% LTV which is still marginal.


What constitutes a “full life”?


Coke & hookers obvs


Maintenance calories and masturbating by a river bank is cheaper