Quickie - Best day to repay my mortgage ???

foxmeister

I will be repaying my old Halifax mortgage with a new Nationwide one very soon.
Could someone please advise me on the best day of the month to do this as I seem to think the interest charges will vary.
Thanks alot ..

cloud_dog

Why not find out from your lender, although make sure they are sure of the answer.

I had a similar (sort of) problem when I moved my mortgage from the Skipton to Nationwide. Whilst the interest was calculated daily and the payments were made on the 1st of the month, if I'd moved the mortgage on the 1st of the month I would have had to pay a months payment, i.e. for the whole of the following month, and I would not have got any of it back. Normally overpayments are re-paid to you but not in this particular occasion, so I moved the mortgage on the last day of the month.

The very slight downside to moving it on the last day of the month is that I had already paid for the last day with Skipton and then I had to pay Nationwide for that day also but, better than loosing a whole months payment.

This may be particular to Skipton and I cannot remember experiencing this scenario with any other re-mortgages I've gone through, so ask your existing lender.