Just spoken to RBS about a new mortgage and bank personally with them. They offered me an Offset Flex mortgage which obviously links to the personal account and uses the value in there to offset the mortgage. It does however also link to a business account and can use that money to offset the mortgage.
There has been a thread on this in the past which seemed to go off on a tangent so not much help and is 2 years old.
http://forums.contractoruk.com/accou...ed-profit.html
The RBS site is still the same however which is odd after such a long time. The details are here..
RBS | Business Offset Service | Help to cut your personal mortgage
There have been a lot of threads about offsetting business money against personal mortgages but none of them seemed really viable due to restrictions or excessive interest on the mortgage you have to take but this one seems too good to be true... which is why I am asking.
Is anyone running this setup and aware of any pitfalls that are not apparent from the blurb?
Stop paying interest on Business Account, all 0.5% of it to offset against my 4% personal account without moving a penny. Where is the catch?
TM, if you tell me to search I will find you and open the biggest can of whupass on you you have ever seen!!!
There has been a thread on this in the past which seemed to go off on a tangent so not much help and is 2 years old.
http://forums.contractoruk.com/accou...ed-profit.html
The RBS site is still the same however which is odd after such a long time. The details are here..
RBS | Business Offset Service | Help to cut your personal mortgage
Your business
You need to be in business as a sole trader or simple partnership.
Sole trader? The mortgage can be in your name or in joint names between yourself and one other person.
Simple Partnership? All the accounts you include must be in the name of the business partners.
Your business accounts and your mortgage
You can offset the balances in a Business Current Account and up to three Business Instant Access Reserve savings accounts against your personal Offset Flexible Mortgage balance.
Your business and personal accounts remain separate and you manage and spend your money as usual.
You can add or remove accounts from the Business Offset Service at any time.
You need to be in business as a sole trader or simple partnership.
Sole trader? The mortgage can be in your name or in joint names between yourself and one other person.
Simple Partnership? All the accounts you include must be in the name of the business partners.
Your business accounts and your mortgage
You can offset the balances in a Business Current Account and up to three Business Instant Access Reserve savings accounts against your personal Offset Flexible Mortgage balance.
Your business and personal accounts remain separate and you manage and spend your money as usual.
You can add or remove accounts from the Business Offset Service at any time.
Is anyone running this setup and aware of any pitfalls that are not apparent from the blurb?
Stop paying interest on Business Account, all 0.5% of it to offset against my 4% personal account without moving a penny. Where is the catch?
TM, if you tell me to search I will find you and open the biggest can of whupass on you you have ever seen!!!
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