Pay off mortgage or save money?

blushingbride_3

Hi

I am not sure what to do so any advice would be greatly appreciated!:)

I currently have a remortgage with barclays for £69000 at a rate of 0.15% above base tracker for rate or the mortgage. also going to get a extra £50K remortgage with barclays at 5.99% tracker for life (not sure of indiviudal rate). both 25 year terms

Now i am in the situation, would it be better for me to pay an additional £200 on my mortgage every month to reduce it too 16 yrs or should i put it in my halifax 10% savings and not touch it?

Thanks Katie

Newbird

Isn't Hfax rate only for a year? Depends on what your future plans are I guess?

blushingbride_3

yes halifax only for a year so maybe would i be better saving for a year and then paying it as a lump sum for the mortgage?

Newbird

Yes, if you run the Hfx account correctly just don't get penalised!

Save at 10% then use as lump sum. There are some calculator tools you can play with to see the results...tho the 10% is easy enuf to calc.!
try here
http://www.thisismoney.co.uk/long-term-savings-calculator

there are ones for your mortgage payment options too, but don't have links to hand..