Offset mortgage vs ISAs

[croyde]

Only posting to see if I've done the sensible thing.

Interest only mortgage monthlies are rising at an alarming rate. 1% above base tracker, thus now 5.5% and probably 6% by tomorrow. Was 1.01% less than two years ago.

ISAs in funds bought ages ago, did really well until Covid and since have gone up a bit and down a bit, more or less staying at the same level. Annualised return now saying 6%.

So I've cashed most of them in and transferred the money to an account attached to my offset account, effectively cutting the mortgage payment by half.

So, by tomorrow, that money is effectively earning me a 6% return.

Have I done this correctly?

Obviously I know I can't put all that cash straight back as I'll be restricted to £20k a year for ISAs.

Didn't want to do it but we appear to be hitting desperate times.

[okgo]

There are some products that allow you to offset mortgage against an ISA - I think anything that allowed you to keep the money in ISA would have been my preferred option.