If you have savings that are the same amount of your morgage should you keep the savings or pay off the morgage?

[ssd]

unfortunately not my problem!! but someone at work

I don't think she pays tax as she hardly works, but she has been left money that is the same amount as her morgage(lucky her!!)

would you pay off all your motgage or keep the money in a high interest account?

personally I told her I'd pay off the morgage but she says then she'll have no savings....

so is no morgage better than no savings?

Here's an explanation about FSA rules and offset mortgages

Only first 35k protect is there actually enough money in the goverment coffers to cover this even? I really would wonder on that one.

Dont keep your savings in one basket and make sure the baskets are not covered by the same umbrella - i.e. woolwhich and barclays are the same company - so both will only cover up to 35k not 70k

Well, it's proposed to be raised to £50k each with clarification needed on who would do teh bailing out