One account - payment date?

stevie_wonder

Hi all,

Can anyone help? What day should I set up my mortgage payment to come out? My salary is paid in on last working day of month.

dimbo61

the 2nd of each month.
this helps to repay ( one month mortgage payment ASAP ) and save you interest.
You dont have the time to spend yours wages before the mortgage payment comes out.
you avoid paying on the first IE janurary

Locoblade

I've not got experience of the One Account but from what I gather, I thought it was all one pot anyway so you didn't really actually make a mortgage payment as such, just whatever is left in the account at the end of each month is the mortgage payment?

With any offset account though, it shouldnt matter which day you pay. Regardless of what day you pay it, whilst the wages sit in your current account it's offsetting the capital, once its paid it visibly shows as being taken off the capital, but either way you have the same amount of overal capital accruing interest from the day you're paid.

bunking_off

I'm lost....you don't have a payment date on a OA. It operates like a big overdraft.

Your salary goes in at the end of the month (so reduces your debt), then you gradually spend money during the following month on your day to day expenses, all the time accruing interest on the debt. If, at the end of the following month (just before you get your next pay-packet), you've spent less than the interest accrued, your debt will have reduced overall and you're heading for mortgage free day. If you've spent more, your debt's increased.

Do you mean the date the interest payment is taken? Didn't realise you could select that. Not sure it makes much difference because the interest is calculated daily regardless.