Recently I was with a client who I did a loan for 19 years ago. He was single, on an average income, but he was now mortgage free. He didn’t have to live a life of extreme frugality. He took holidays and had nice cars. How did he do it; how did he pay his loan off in 19 years instead of 30? He used an offset account. Offset Accounts have been around for a long time now but their ability to reduce your mortgage is still not well understood. Einstein said compound interest was "the eighth wonder of the world" so Offset Accounts must be the Ninth. Having an offset account attached to your home loan is a virtual must for anyone who can save a little above their mortgage and other monthly costs.