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If 2009 was the year of reducing debt and getting back into the black, 2010 is the year to use your clean slate alongside an offset mortgage to make your savings grow.

Many people spent the last 12 months clearing credit cards, overpaying on mortgages and getting clear of personal loans and store cards. And for those who have been successful in doing that, they now have the ability to make some real headway in growing their savings and their long-term financial potential.

This can be done simply with an offset mortgage – by offsetting your mortgage alongside a lump sum you reduce your monthly payments and give yourself more room to save more each month – savings that can then help reduce mortgage payments further each month. It’s the debt that helps you save, simply.

With the extra freedom you get with an offset, you’ll have more time and energy to scrutinize your outgoings. You can see more clearly where you are wasting money, where you can reduce outgoings and where you can save even more each month. It might mean checking your credit cards, comparing phone, TV and broadband prices or even making your home greener so as to reduce energy bills.

Martyn Hocking, editor of Which?, says: “If you make just one New Year’s resolution this year, make it that you’ll face your finances head on. Check what you’re paying for goods and services, and shop around for the best deals. Don’t settle for mediocre service either – vote with your feet and take your business elsewhere if you’re not happy.”

This goes for your mortgage too. If you are not able to save money each month because of an inflexible loan then move. Talk to a mortgage expert about a flexible loan that can help save more and can help set you free of financial stress in 2010.

SOURCE: Which?, 30/12/09

To stay abreast of current trends, news and comment on offseting mortgages visit the Offset Mortgage Blog.