I was wondering if it is a good idea to borrow money from family to put in your offset account (for an investment property) to save on interest
Investment property is/ was negatively geared
P&I interest rate is 2.09% pa and will reduce to around 1.80-1.89% soon
Loan amount 380k
Amount 150k, interest rate of 1.6% (I pay to my mum either monthly or at request, highest saving acc interest is 1.1% at the moment and my home loan is 2.09% so I thought it would be a win win for both me and my mum)
Currently on 37% income tax bracket
So the question is, is it worth it to borrow money to save on bank interest but loose the interest I could use to negatively gear?
Much appreciated in advance