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exiges

Smi Pays Off Your Capital Too

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Reading this page

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/DG_180321

I saw this:

SMI - excess payments

Some homeowners may have actual interest rates that are lower than the standard rate used to calculate SMI payments. This means you receive more SMI than required to meet the payments due to your lender. These payments can only be credited to your mortgage account.

First off I don't agree with SMI bailing people out and propping up the housing market and I understand the government has now reduced the interest rate on SMI payment but I still think it's wrong that at any point to actually pay off the capital owed. Being paid to have a mortgage, what an earner.

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Reading this page

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/DG_180321

I saw this:

SMI - excess payments

Some homeowners may have actual interest rates that are lower than the standard rate used to calculate SMI payments. This means you receive more SMI than required to meet the payments due to your lender. These payments can only be credited to your mortgage account.

First off I don't agree with SMI bailing people out and propping up the housing market and I understand the government has now reduced the interest rate on SMI payment but I still think it's wrong that at any point to actually pay off the capital owed. Being paid to have a mortgage, what an earner.

SMI is all kinds of wrong. If you have any equity in your house you should be forced to sell and use the money to rent until that money runs out, then you get housing benefit. This would be parity between owners and renters.

Edited by goldbug9999

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  • 150 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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