Mortgage-Free Wannabe Welcome and Explanation

JCL · 10 November 2013 at 8:45AM

If the interest on your mortgage is more than the interest on your savings then put it towards the mortgage. Keep yourself 6 months worth of bills as an emergency fund.

pollyanna24 · 13 February 2014 at 5:18PM

Can't remember if this is the right place to post your overpayments, sorry.

Also can't remember my number, oops.

But my overpayments are:-

January 2014 - £1,000
February 2014 - £1,300

Imma_Number · 13 February 2014 at 6:17PM

pollyanna24 wrote: »

Can't remember if this is the right place to post your overpayments, sorry.

Also can't remember my number, oops.

But my overpayments are:-

January 2014 - £1,000
February 2014 - £1,300

Here: mfw 2014 & number 51 ?

Daisyscottage9 · 17 February 2014 at 11:44PM

Hallo, new to this forum but just wondered if anyone can help please?
I would like to start overpaying on our mortgage and being interested to see how we would benefit I used the calculator , but not sure how to work it out properly as our mortgage is fixed for another 9 years and then reverts to variable for the remaining 10 years . Sorry if I am sounding a bit dumb but I put the rate we are paying now and an amount we could possibly overpay each month hey presto it tells me how much sooner our mortgage is paid off . Is that not based on the rates staying the same ?what happens when our fixed rate comes to an end ? How can I work it out accurately ??? Help &#55357;&#56872;

matthewwilson · 21 February 2014 at 12:54PM

Hi
I am Matthew Wilson , I am new here.

Opal_crazy · 12 April 2014 at 1:27PM

I have to say that in comparison to many posts on here my outstanding mortgage is minimal just £36000 but there's only little old me to pay it. I'm chuffed to say I pay my credit cards in full every month and have absorbed a lot of MSE ethics along with my dad being tight :-) and learned a lot from both.
I have 14 years left to run but would love to by sorted by 2020. I've just set up a standing order of £50 each month and have just paid £650 extra from my savings. I figure interest rates are so sodding low its better off being spent on mortgage payments.
I'm confident we'll all get there eventually

bananawheels · 6 May 2014 at 11:43AM

I'm not sure if this is really the right 'section' to post this, first time forum user and all that, but I wondered if anybody had heard/seen The WhiteRabbitTrust on YouTube (please search Challenge Your Mortgage) explaining how to get your mortgage written off/deemed as void? Everybody wants to get rid of their mortgage as quickly as possible, is this even an option/legal etc??

pleasehelptoexplain · 22 August 2014 at 10:20AM

Hi - I hope I've posted this in the correct place as this is my first time to the site. I have been doing lots of research into overpaying on my mortgage but can't find out if and why it is better to overpay annually or monthly.

I have a 35 year fixed term repayment mortgage at 2.99% (one year in). I borrowed 210'000 and now owe 206'000.

I have just inherited 30'000 pounds after my grandmother's death. My savings accounts will not yield 3% interest so I can see it is best to save by overpaying my mortgage. The mortgage calculator on here and everywhere on the internet says it is best to overpay each month rather than as a lump sum. Is this the case and why?

The interest is calculated daily, so if I paid my 10% quota of 20'600 pounds next month, does this save more or less money than overpaying 1716 pounds per month (to make up annual 10% allowance)?

Would really appreciate any help you can offer. Thanks a lot

omarsgirl · 11 November 2014 at 2:39PM

Hi I would like to join to give me an incentive.

We owe £52000

We have £16000 in a bond that is maturing in February so are going t use that to start with. I have set up a dd to overpay by £100 per month. Along with any extras we can pay, we should be MF in about 3 years,
Leaving us lots of time to save for retirement.

That's the plan- it wont leave us skint-we will still have an emergency fund and we like our holidays and going out so it's a sensible amount.

Seeingwhatsbest · 13 November 2014 at 12:14AM

Hello all,

I'm a new member to the MSE site, but a regular user of its Overpayments Calculator especially.
I'm seeking any advice if I'm doing wrong with my mortgage overpayments...or reassurance if I'm doing right

Mortgage type: Repayment, standard variable rate 4.99%
Interest calculated: Annually

Since July 2011 I have been making overpayments into my mortgage account, which then was at £43,429 with exactly 15 years remaining. This has included overpayment through my direct debit, and also one-off large capital payments from time to time, which reduced the subsequent mothly payments. In April my lender informed me that the mortgage term had been reduced by 9 months.

Now the balance remaining is £28,080 and with my normal monthly overpayments of £100 currently debited from my account I will end the mortgage in February 2022.

To date I have overpaid £10,100 in total, but am thinking I may have done a mistake in not requesting to keep monthly payments the same since making the occasional large capital payments i.e. when the first letter telling me about the payment change arrived.

What do other members think? Am I going about it completely wrong, or maybe right?

Hopefully I'm making sense with the above. Thanks in advance:)

Mortgage-Free Wannabe Welcome and Explanation

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