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I have €77,000 in my bank account. My mortgage has €75,000 left on it (without interest) and a term of 14 years remaining. The current interest rate is 4%, but of course this can change.

Should I pay off this mortgage? Or would there be much smarter things to do with the money, i.e. investing or buying a second home?

I want to actually get some return on the money, but paying interest on money I don't need to borrow anymore seems unnecessary to me.

Cloud
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You'd only be left with €2,000 in the bank, so paying it off completely in a lump sum now would be unwise. However, dropping, for example, €35,000 onto it is a reasonable option. That would give you still €42,000 is the bank (an excellent emergency fund), save you a lot of interest, and greatly speed up the repayment schedule.

(Changing subjects: how much interest is it earning in the bank.)

RonJohn
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