How to beat any rate rises

Author: David Potts
Date: October 6, 2009

Whether the Reserve Bank raises rates this week or makes do with another warning, giving the mortgage a makeover is a good idea.

The starting point would have to be deciding whether to fret or fix. The answer is don't do either.

So what if interest rates rise? They're still so low you should be paying off more than you have to anyway.

For all the nips and tucks you can make to your mortgage (I'm coming to them), there's no better wealth builder than paying it off as fast as you can.

You know the drill: no gain without pain and all that. Stepping up the repayments while you can is the liposuction of mortgage makeover.

It's shock treatment that sucks…