Katie Horne, banks relationship manager at Flagstone, said: “Using tax-free interest earned on your Isa savings to overpay your mortgage may help to reduce future repayment costs after your next remortgage, without depleting your current savings.
“Even relatively modest overpayments, when made consistently, can significantly reduce both the term and total interest paid, and could potentially bring forward retirement plans or reduce financial pressure later in life.
“Using savings interest to fund those overpayments allows borrowers to do this without eroding their financial safety net.
“For most people, a mortgage is the largest debt they will ever carry.
“Knowing that you are going above and beyond to chip away at it and free yourself from the burden of debt that bit sooner can be hugely motivating and a psychological boost.”
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