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  • FIRST POST
    • caymankermit
    • By caymankermit 22nd Aug 15, 2:17 PM
    • 29Posts
    • 137Thanks
    caymankermit
    Fingers crossed
    • #1
    • 22nd Aug 15, 2:17 PM
    Fingers crossed 22nd Aug 15 at 2:17 PM
    Hi Everyone,

    I wanted to start posting on here to show that you can overpay on your mortgage even if you can't afford to throw hundreds of pounds a month at your mortgage.

    I think I'm a little anal about paying back extra, I have been known to pay off 1p! The mortgage is held with the main bank and so whenever I check the online banking any extra pennies goes to the mortgage to round down to the nearest pound (which seems a tiny amount but soon adds up). I'll even go as far as buying milk (food normally is paid for through the joint account) with money from my purse and then transferring the same amount to the mortgage. Also, any time money is saved (eg Tesco Clubcard vouchers) that goes off too.

    Currently owing £76,500 and have 18 years to go. £7000 of this is a homeowner loan taken out three years ago which is subject to the same terms as the mortgage, this is the first one I'm trying to get rid of. According to the Overpayment Calculator, I have cut around 7 years off this one so far! No idea when to aim for, as soon as possible but although I picked an amazing career, it's not the best paid in the world...

    I'm new to this so hopefully it makes sense... Good luck to all you other mortgage free wannabes!!!
Page 1
    • ourcornercottage
    • By ourcornercottage 22nd Aug 15, 2:45 PM
    • 1,483 Posts
    • 7,392 Thanks
    ourcornercottage
    • #2
    • 22nd Aug 15, 2:45 PM
    • #2
    • 22nd Aug 15, 2:45 PM
    Good luck, i totally agree that small amounts all add up and then compound the interest over 18 years and tahdah you have a big saving! I aimed to almost half my term I have a bigger mortgage on 18 years and a smaller one on 14 years. Im hoping for / aiming for 10 years
    £119,375.00 MFW16 #9 £3952.49/£6000 Jan-£536.60 Feb-610.39 Mar-£1006.22 Apr-£549.92 May-£739.57 Jun-£504.79 July-£5 (reg op £199.17)
    Kw gen'd 12/15-94 1/16-132 2/16-236 3/16-231 4/16-419 5/16-438 6/16-375 7/16-0
    Save 12k 2016 #59 - £3708.48/£3000 || MFiT-T4 #12 - £67000
    • Dalradian
    • By Dalradian 22nd Aug 15, 3:11 PM
    • 148 Posts
    • 703 Thanks
    Dalradian
    • #3
    • 22nd Aug 15, 3:11 PM
    • #3
    • 22nd Aug 15, 3:11 PM
    Good point - even small payments add up. Good luck on your journey
    Mortgage 1:£128,202 £124,830 £124,330 £118,330 £113,330 £107,712 £104,047 £100,547 £99,199 £95,849 £85,693.33 £80,172.92 £78,000 £69,708 at 2.49% New repayment date September 2030. Original repayment date May 2041 (£144,215 at May 2012)
    Mortgage 2 BTL: £61,701 at 3.49% interest only Original repayment date May 2041 (£70,000 at May 2012)
    • Thistlewhistle
    • By Thistlewhistle 22nd Aug 15, 3:15 PM
    • 986 Posts
    • 7,102 Thanks
    Thistlewhistle
    • #4
    • 22nd Aug 15, 3:15 PM
    • #4
    • 22nd Aug 15, 3:15 PM
    Good luck caymankermit.

    I think Albert Einstein said that one of the strongest forces in the universe was compound interest. Or something like that.

    T
    Mortgage at end 05/2007: £90,202
    Mortgage at end 01/2016: £80,101 paid £10,101 (11.12%)
    Daily interest: £9.96
    MFD: 09/2031 saving 11yr 4 mth

    Credit Card Debt (0% until 03/2017): £3,900 : £2,650 paid off (67%)
    Emergency Fund Challenge #42: £2,500/£5,000 (50%)

    Age of Money at 29/02/2016 = 56 days

    YNAB is changing the way I live my life....and spend my money!!
    • caymankermit
    • By caymankermit 3rd Dec 15, 8:07 PM
    • 29 Posts
    • 137 Thanks
    caymankermit
    • #5
    • 3rd Dec 15, 8:07 PM
    • #5
    • 3rd Dec 15, 8:07 PM
    Thanks all. I actually changed mortgage recently. The new one is also a tracker (to be honest, I didn't know what the last one was, just figured it would go up with interest rates), and a lower rate (yay!) of 2.49% (down from 3.29%). I'm planning to put the extra saved into the smaller loan which should (according the the overpayment calculator) cut about 5 years off the timescale.

    I'm also earning vouchers in various places ipsos isay, shop and scan (received an invitation through the post, finding this great, you can volunteer and when they have a gap you may get in, I earn around £1.60 a week), and have just started tvsmiles, time will tell on that one...

    Good luck to all of you!



    Down to £75162 (£6500 in smaller loan)
    • caymankermit
    • By caymankermit 29th Dec 15, 12:49 PM
    • 29 Posts
    • 137 Thanks
    caymankermit
    • #6
    • 29th Dec 15, 12:49 PM
    • #6
    • 29th Dec 15, 12:49 PM
    I think I'm a bit mortgage nuts, anything extra always goes off the mortgage. Down to any vouchers I have from my reward accounts are saved until there is something we need, then the equivalent goes off the mortgage. Spent £20 of vouchers the other day which (according to the overpayment calculator will save us £10) went off the mortgage. I also had some pennies today, 34p... Every little helps!
    • caymankermit
    • By caymankermit 11th Oct 16, 10:24 AM
    • 29 Posts
    • 137 Thanks
    caymankermit
    • #7
    • 11th Oct 16, 10:24 AM
    • #7
    • 11th Oct 16, 10:24 AM
    Apparently I'm no good at this blog thing! I changed mortgages a few months ago and reduced our rate from 3.29 to 2.49%, and as it's a tracker am now paying 2.24%. Fairly hefty saving! Of course all of the saving is going onto the mortgage.

    Owing now is £70000 total - £4400 of which is the homeowner loan which (touch wood) should have gone within 3 years!

    Good luck to everyone else and hope the mortgage free journey is going well!
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