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    • A Frayed Knot
    • By A Frayed Knot 8th Jun 15, 11:34 PM
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    A Frayed Knot
    Was Mortgage Free until 52!!!
    • #1
    • 8th Jun 15, 11:34 PM
    Was Mortgage Free until 52!!! 8th Jun 15 at 11:34 PM
    I was a lurker, but inspired by this thread to start my own diary and although my figures are positively small fry to some - its still my mortgage.

    A bit about me, took the plunge and bought a house age 50 plus by myself, everyone asked "Are you mad?" But thought - I can do this.

    Bought at auction, so got a bit of a bargain (the only way I could afford a mortgage) and had what I would call (in my terms) a nice deposit. Took out an 80% mortgage, and lenders would only give me an 18 year term, 2 years fixed at 4.5%, so in my eyes I have already knocked 7 years off my mortgage - how's that for positive thinking?

    I'm now 3 years down the line and have already made the classic mistake, did not renew my fixed term after the 2 years (and still haven't) as it reverted to 3.99% which was lower than I was paying and on making my first large overpayment, they reduced my monthly payments Little did I know what I know now. So its time to get my mortgage in order.

    I have about a years mortgage savings - and about 3 years mortgage payments out on loan at the moment.

    I pay a minimal 45.00 into an isa every month, but was thinking of adding this to my monthly mortgage payments when I remortgage thus reducing the years even further. What do you think?

    I work full time and overtime is available for the moment although I never accept, as I go in early and stay late - could class that as overtime,

    As you can tell, I'm a bit obsessed with overpayments, but well - you can see my point - at my age, want to be "mortgage free" asap.

    My Motivation Madness;
    I have a simple method to keep me motivated, only thing is to explain I make it sound complicated and only works if you have a sub account as well, but you could adjust to suit yourself.
    • "Always have 0.00 at the end of your mortgage"
    • This way the least/most you will pay is 9p or 9.99
    • On flush days you could go for 00.00 at the end or even 000.00
    I know, I know, I need to get out more Good Luck whatever you decide.
    Last edited by A Frayed Knot; 20-02-2017 at 12:01 PM.
Page 3
    • A Frayed Knot
    • By A Frayed Knot 13th Jul 15, 10:05 PM
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    A Frayed Knot
    Today I have had a LBM I really thought I was well in tune with what I spend and used to read the diaries that states they had NSD (which I used to think was ... wait for it ... no smoking days ) because no spend days was just not possible in my book.

    However after the last two weekends I have had nsd. Might have something to do with the fact I am totally exhausted after my working week, that I have no energy to go shopping, but now know it can happen.
    • A Frayed Knot
    • By A Frayed Knot 16th Jul 15, 11:47 PM
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    A Frayed Knot
    Was just reading Mrs E's diary, and took a couple of excellent tips from it.

    No idea when making overpayments why I was saving up/waiting till I had between £500 - £1,500 lump sum, then overpaying.

    Once it was pointed out that even overpaying by £1, its a £1 less that you never have to pay interest on again. Love this. Will check tomorrow how much I can pay over and will even try to get it to under the next thousand down.

    Can't wait.
    • A Frayed Knot
    • By A Frayed Knot 3rd Aug 15, 9:00 AM
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    A Frayed Knot
    Thought I ought to update, took that long needed break last week and went to a lovely quiet peaceful place, weather could have been better but hey ho, it was the break to recharge my batteries that was needed. and it also gave me a chance to catch up with some diaries.

    Still not got round to changing my mortgage but have an appointment for Thursday after work. Not sure what I'll plump for as thought I had it down to 2 options but have been reading about the "offset mortgage" and although not sure how this works would like to find out more about it.

    Will have some extra this month as I had o/t from two months ago, will find out either tomorrow or if I get to the bank today just how much extra I have

    Have listed some items on bay of e and sold two items so far - its a start. Now I need to get on with some chores, as usual my list is endless.
    • A Frayed Knot
    • By A Frayed Knot 3rd Aug 15, 12:51 PM
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    A Frayed Knot
    Just received a phone call about my appt on Thursday, seems they made a mistake and that there will not be a mortgage advisor avail then, told me I could apply online, so started the application only to read as long as you dont want to change the term, then continue - but of course that's what I want to do, up payments, change term.

    Anyway so mad, enough of waiting about, so went online and just made another quite large o/p which was unexpectedly easy to do, considering when I went into branch - I had 3 tellers and Manager all not knowing quite what to do - as I requested my lump sum all be put to mortgage and not split into the 3 accounts I have.


    Only problem now is to see whether they reduce my monthly payments, as they done 1st time round, how do you get round this, if you want to keep same payments every month and just pay extra without reducing monthly payment. They are so crafty - don't you think?


    Anyway back to square one - I need an appointment.
    • bexster1975
    • By bexster1975 3rd Aug 15, 1:11 PM
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    bexster1975
    That is a pain! I don't have that. Whether I am on a fixed rate or SVR I have never had the bank reduce the term or monthly payments because I have overpaid. If they did, and wouldn't stop it, I would work out the difference and set up a DD to transfer the difference each month. If on a fixed and ERC will kick in, transfer OP to a savings account out the way until fixed ends/new year allowance becomes available. I think a meeting with mortgage advisor is needed. A word of caution however, the couple I have met knew less about my mortgage than I did - so go in armed ( not literally, security will escort you out! ).

    If they don't want to play, shop around. I think you might like an offset, certainly worth finding out about.

    Bexster
    • A Frayed Knot
    • By A Frayed Knot 3rd Aug 15, 7:51 PM
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    A Frayed Knot
    Thanks Bexster, when I received the letter telling me they had reduced my monthly payments, I was not best pleased and thought it defeats the purpose of overpaying. Hence when I O/P the next time I found they couldn't have made it more difficult for me - 3 tellers had to call the Manager who had to make a phone call - they didn't want my money but I stuck it out, told them I wanted to pay to mortgage account and did NOT want my monthly payments reduced. Seems when I made my 1st o/p I should have told them which account I wanted it to go towards - as if I would pay against the 0% amount, but anyway they split it - much to my disgust.

    Anyway todays o/p was easy peasy - will phone them tomorrow just to make sure and to put a note on my account to state that anytime an o/p is made I do not want monthly payments reduced. Also going to read up on that offset mortgage.

    Tomorrow is back to work and tomorrow night I'm going to another house auction, like to keep in touch with the market.

    Have a nice night.
    • A Frayed Knot
    • By A Frayed Knot 3rd Aug 15, 11:57 PM
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    A Frayed Knot
    While I was on the phone today I asked the bank why my mortgage payment was not showing up on my statement, they said it was due on Saturday and nothing happens on a Saturday so have a look at close of business tonight.

    I've just logged on again, and my mortgage payment(which is not in my bs account) still doesn't show on the statement and worse still my o/p via faster payment has disappeared out of my bs account but not yet in my mortgage account.

    Out of curiosity how do they calculate the interest?
    • bexster1975
    • By bexster1975 4th Aug 15, 7:35 AM
    • 1,045 Posts
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    bexster1975
    Hi

    I think it depends on your bank. Mine calculates interest daily, but adds it in the last day of each month. I don't think that's true for all banks though. It really is the limit that your bank make it openly difficult to overpay. I doubt halifax are delighted that I will pay mine off 15 years early, but they have never made it deliberately difficult for me to do so. I would seriously consider where I remortgage if I were you.

    Good luck back at the grindstone.

    Bexster
    • Secret Saving Squirrel
    • By Secret Saving Squirrel 4th Aug 15, 7:42 AM
    • 3,872 Posts
    • 35,868 Thanks
    Secret Saving Squirrel
    Hello,

    I found that staff at the Halifax really were not all that clued up about overpayments. I had to really emphasise what I wanted to do or the money would just sit in the mortgage account without being used to overpay or reduce interest. As you say, they don't like people overpaying.

    Well done on your progress so far,

    Squirrel x
    Paid off mortgage nine years early in 2013. Now picking and choosing our work to fit in with the rest of our lives!
    Still thrifty though, after all these years
    • Watty1
    • By Watty1 4th Aug 15, 9:16 AM
    • 2,836 Posts
    • 19,655 Thanks
    Watty1
    I started out wanting the amount reduced - when the mortgage got lower I wanted the term reduced - I've never succeeded in getting the bank to understand the reduce the term bit - so - I just started to look at the difference between the new and previous mortgage payment as part of the next overpayment.
    Mortgage at start of diary Sept 2013: £132,995 Aug 2015 £0
    Overpaying next mortgage. £79,491 now £27152
    • A Frayed Knot
    • By A Frayed Knot 4th Aug 15, 10:33 PM
    • 2,127 Posts
    • 9,569 Thanks
    A Frayed Knot
    Hi

    I think it depends on your bank. Mine calculates interest daily, but adds it in the last day of each month. I don't think that's true for all banks though. It really is the limit that your bank make it openly difficult to overpay. I doubt halifax are delighted that I will pay mine off 15 years early, but they have never made it deliberately difficult for me to do so. I would seriously consider where I remortgage if I were you.

    Good luck back at the grindstone.

    Bexster
    Originally posted by bexster1975

    Hi bexster,
    seems we are with the same mortgage company!! I checked online and my payments are now showing on my statement. but with the payment date as 3/8/15 when it was due 1/8/15.
    Just a thought but will I be charged 2 days extra interest - if so, seems a crusade for MSE to take on board. With everyone claiming back the extra days interest charged through no fault of their own.

    Back at the grindstone - got payslip with o/t incl - nice surprise. Going to round mortgage down to the next£500.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • A Frayed Knot
    • By A Frayed Knot 4th Aug 15, 10:50 PM
    • 2,127 Posts
    • 9,569 Thanks
    A Frayed Knot
    Hello,

    I found that staff at the Halifax really were not all that clued up about overpayments. I had to really emphasise what I wanted to do or the money would just sit in the mortgage account without being used to overpay or reduce interest. As you say, they don't like people overpaying.

    Well done on your progress so far,

    Squirrel x
    Originally posted by Secret Saving Squirrel

    Hi Squirrel

    Thanks for popping in and for the encouragement.

    So someone else has had similar experience - funny how its the same mortgage co.

    As far trying to get a new deal, they're in no hurry, why would they be, when I'm paying double the interest rate at the moment.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • A Frayed Knot
    • By A Frayed Knot 4th Aug 15, 10:58 PM
    • 2,127 Posts
    • 9,569 Thanks
    A Frayed Knot
    I started out wanting the amount reduced - when the mortgage got lower I wanted the term reduced - I've never succeeded in getting the bank to understand the reduce the term bit - so - I just started to look at the difference between the new and previous mortgage payment as part of the next overpayment.
    Originally posted by Watty1

    Hi Watty, thanks for stopping by.

    Why is it they can't or maybe the word is "won't" admit they know what we are all taking about when it comes to it. Fairly sure they would know if talking about their own mortgage.

    Just one word though - when o/p just watch out for your o/p limit. (well ok 9 words)
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • bexster1975
    • By bexster1975 5th Aug 15, 6:46 AM
    • 1,045 Posts
    • 4,819 Thanks
    bexster1975
    Hi

    I honestly don't know about two extra days interest. I'm sorry it's Halifax making life difficult. I overpay online, both the regular overpayments and large one off overpayments. They only adjust the amount when I renew a product ( and ultimately that's my fault as I don't reduce the term). I've honestly never had an issue overpaying or them messing about with my payments to make sure I'm paying as little per month as possible. I confess I don't do these things over the counter - I generally find staff are a limitation to efficient banking!!

    Great news on reducing to the next £500

    Bexster
    • A Frayed Knot
    • By A Frayed Knot 5th Aug 15, 9:28 PM
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    A Frayed Knot
    Hi Bexster

    Gosh your up early!! Yeah feel quite smug went it went under the next £500.


    Not feeling quite so smug now though as my medical condition has worsened - I believe through stress at the grindstone. So bottom line is I've been told to get to my gp and not to go in tomorrow. If I have an early night will see how I feel in the morning.


    Sitting here with my feet up in the quiet, no tv or music - total silence, have 2 parcels to wrap for posting for the bay of e, then its early bed for me.


    nite, nite
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • A Frayed Knot
    • By A Frayed Knot 7th Aug 15, 11:50 PM
    • 2,127 Posts
    • 9,569 Thanks
    A Frayed Knot
    Had a NSD as not out of the house at all today. Had another restful peaceful day. Looking through finances, had some money in paypal so transferred that to my main account, also signed up for internet banking from the account that my salary gets paid into.
    Then found an old bank book, interesting reading - back in 2008/9 received a considerable sum of interest £850 plus £720 plus in interest only to drop to £52.00 plus for the same amount deposited. Oh and theres nearly £300.00 in there, need to put it to better use.
    Sold a couple of items on ebay - still to parcel up and send once payment received.
    Then need to count my pennies out of my large china piggy bank - think have around £60.00, so that will go with me on Monday (if I can carry - its so heavy) when I have an appt with mortgage advisor.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • A Frayed Knot
    • By A Frayed Knot 13th Aug 15, 11:27 PM
    • 2,127 Posts
    • 9,569 Thanks
    A Frayed Knot
    Had my meeting with Mortgage advisor, had to do a review, turns out they have changed the rules and no longer lend over your retirement years. Just as well I wanted my years reduced then, isn't it?

    To go back on Tuesday, when he will have final figures, facts, etc.

    Just paid another £645.00 o/p. Think this might be my last till payday, again.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • A Frayed Knot
    • By A Frayed Knot 15th Aug 15, 10:43 PM
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    A Frayed Knot
    Well, there you go, first time I've o/p by reducing my bs account to the limit I don't like to go under 2 weeks before payday and what happens, got gas bill in, and its a whopper - so the £300.00 I found in a dormant account is now gone. Then I buy bus tickets by the load - another £100.00 but will last me through the winter months.The 2 items I have sold on ebay might get me my bread and butter for the next two weeks, speaking of bread. I was doing so well or so I thought for groceries budget this month, then popped into M&S for fresh orange juice and a loaf - had a £5 in my hand and was deemed speachless when I received 15p change. What ???? Teach me to pick up a loaf at A11di or L11d1s next time, but wont do without my fresh o/juice from markies.
    Finished off painting the side of the building today, only the front and front steps left to do now.
    Mortgage appt on Tuesday, so will be in a new deal from the start of next month - hopefully, which will reduce % from 3.99 to 1.78. Then to drs for appt - he will keep me off my work a bit longer.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
    • bexster1975
    • By bexster1975 16th Aug 15, 8:51 AM
    • 1,045 Posts
    • 4,819 Thanks
    bexster1975
    Hi

    Good luck Tuesday! I think when my rate changed by a similar amount I saved about £60 a month on interest!

    Just to be naughty, Lid! Fresh orange juice is also very nice!

    Sorry to hear about energy bill

    Bexster
    • A Frayed Knot
    • By A Frayed Knot 16th Aug 15, 9:40 PM
    • 2,127 Posts
    • 9,569 Thanks
    A Frayed Knot
    Yes, thanks I know it will be for the best and mad I've not done it sooner, but I hate comittment so to tie myself into 2 years is a major thing for me, already I'm thinking what if I want to borrow more - have had this mad idea I want to buy a second property to let, least that way I'll have some pension. But as I say - mad idea.

    I've heard Lid!'s fresh orange juice is lovely - will really need to try it and compare, was there today for my moisturiser lotion and treated myself to a ice cream/sorbet deluxe - melon and pear - can't wait to try them.


    Gas bill not as much as I expected - will need to be sitting down for the electricity - due to circumstances you won't believe is going to be huge.
    Always have 00.00 at the end of your mortgage balance and one day it will all be 0's
    MFMarch 30 Re/M Oct 23 Target -Dec 19
    O/P's 2014/£4000, 2015/£6294.69,2016/£3186.80
    2017 £2422.71 + Phantom o/ps 2017 -£1367.81 so far
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