All your other debts, such as your credit cards or your personal loans are also linked into nest of products, and this allows you to repay all of your debts at mortgage rate, which is likely to be a lot lower than your pay rate on those borrowings.

A further advantage is that credit cards and loans remain unsecured borrowings even though they are paid off at mortgage rate, so if you can't keep up repayments on those your home is not at risk.

The people that will find offset mortgages very suited to them are people with volatile incomes, such as self-employed or people often paid in large bonuses. People with significant amounts of savings will also find offset mortgages useful.

If you do opt for an offset mortgage, especially one linked to a current account, you can maximise its benefits by keeping your cash in your account for as long as possible each month. With interest calculated daily, each day's credit balance can make a small difference.

The rate on an offset mortgage will be higher than cheapest rates available.

The benefit of offsetting feature is that you can always have access to your savings if you need them. So you can make them work to pay off your mortgage, and access them when you need to.

The advantage to offset mortgage is that feeling of being in debt is not as all encompassing as with a current account mortgage. However an offset mortgage is quite complicated and you need to make sure that your accounts are offset in best possible way to benefit.

You may freely reprint this article provided author's biography remains intact:

Independent financial adviser, Alan Steele commented, “Debt has always been a problem for a minority of people. One of current problems is willingness of bank managers to hand out loans and credit cards, which means this minority has increased, but majority are coping with their debt.”

Free information on credit cards including costs, from comparison websites like Moneynet ( http://www.moneynet.co.uk ) or Moneyfacts ( http://www.moneyfacts.co.uk/)can help consumers check for lowest rates and best deals on their loan and credit requirements, thereby reducing risks of incurring high interest charges due to mis-selling by providers.

The introduction of tougher codes of practice imposing stricter standards on way products are sold, and use of financial information from qualified financial advisers will also help to protect consumers against possible debt induced problems.

In an interview with BBC, debt charity, National Debtline (http://www.nationaldebtline.co.uk/), stated, "We are not in an early 1990s scenario yet, but large numbers of people are living up to and beyond their incomes."

Organisations like National Debtline, Citizens Advice, CCCS (http://www.cas.org.uk/) and Business Debtline (http://www.bdl.org.uk/) are available to public to provide information, in unfortunate event of debt escalating out of control; however it is much better to prevent situation from getting to that level in first place.