2009 MF Wannabe's

co123456

gratefulforhelp wrote: »

Can you make ovepayments to Northern Rock on a credit card, does anyone know, to get the cashback??

Egg Money. Plenty of information here: http://www.stoozing.com/forum/YaBB.pl?num=1218039089

gratefulforhelp_2

Thanks, cheery.

sheslookinhot

Well fellow MFW's, another months payment means my mortgage balance is now only £7,881. It's great to see the "mortgagebalanceometer" winding down another thousand, with last month under 9k and this month under 8k. I look forward to the October payment when it will be under 7k.

I know when you mortgage is large the overpayments might not seem to make a dent in the mortgage balance, but keep at it because over time you will enjoy the sight of your mortgage balance diminishing to the day it is zero.

I started off with a £40,000 interest only mortgage in 1991 and the lightbulb came on about 3 years ago. Switched to a 50/50 Repayment and I/O and saw the outstanding balance reduce on a monthly basis. I increased my payment by 3 times in Nov 2007. Now I have £5,000 I/O and only £2,881 repayment.

LouiseJ

August payment of £157 has now been taken out via DD....

I have managed to get myself back on my feet after the £3k boiler breakdown in March so I should be making bigger overpayments by next month.

Lynn11

Made another payment of £160 towards mortgage taking the total for August is £340. No 215 reporting in.

jacqhale

Hi Guys, I think I would like to join please. I don't know why I seem to be scared about paying off the mortgage, because I'm really very MSE! But I think it's the thought that the debt seems so huge and at first it might not seem like I am getting anything out of it??
We took a mortgage break for a year which was a HUGE mistage and now we don't seem to have made any headway in the mortgage for the last 5 years:o

So I have £9,000 in an ISA and £3,700 in a savings account which I am paying £500 a month into while working full time (hope to be on maternity leave in the next year and go back part time!)

We also came off a Nationwide fixed rate and go on to a variable in Sept so we would easily be able to pay off £100 a month extra, then keep our payments the same as interest payments go down to pay off even more capital (have I got that right?)

So I suppose I know what you are going to say but want to hear it anyway - can I join and am I best paying off the £9,000 lump sum and £100 + a month. I want to keep the savings account money as a back-up or do you think most of this should go in as well??

I also have 2 BTL flats which are making a good return at the moment with low interest rates. I was going to stick to just paying the interest at the moment so I can continue to save and the plan was to always pay off the debt by selling them rather than decreasing the mortgage - is this stupid???

I don't want to plough every last penny into the mortgages as it's been a tough few years since having the little one and I'm quite enjoying having the extra money. I figure this way I can have the best of both worlds??

Thanks, sorry for the long post!

jacqhale

Should have mentioned - we owe £140,000 at the moment.

gratefulforhelp_2

There's a jolly calculator here to illustrate the savings to be made by overpaying.
http://www.skipton.co.uk/mortgages/mortgage_calculators/interactiveMortgageCalculator.aspx

gallygirl

jacqhale wrote: »

I also have 2 BTL flats which are making a good return at the moment with low interest rates. I was going to stick to just paying the interest at the moment so I can continue to save and the plan was to always pay off the debt by selling them rather than decreasing the mortgage - is this stupid???

I don't want to plough every last penny into the mortgages as it's been a tough few years since having the little one and I'm quite enjoying having the extra money. I figure this way I can have the best of both worlds??

Thanks, sorry for the long post!

The best thing o do rather than pay off the BTL mortgages (assuming they are around the same interest rate as your own mortgage) would be to pay the extra off your own mortgage - you get tax relief on BTL interest.

It's up to you what you do with your income - most folk on here strike a balance as it's a marathon, not a sprint, you can't eat Tesco value noodles for ever :eek:. What rate are your savings & ISA at - higher than mortgage? Check with your mortgage provider if you can get OP's back - if your interest rate after tax is lower than mortgage rate you may be better paying your savings off your mortgage. I'd be less inclined to do this with your ISA as you'd lose the ISA status forever. Also, we will 'allow you' (very magnanimous of us ) to count your savings against your mortgage - I have 11k in a savings account which I knock off my balance - it's all about being ABLE to pay off your mortgage but it may be more sensible to keep it going & save at a higher rate.

Good luck

ShelleyC_2

I've just put another £3000 in the pot :j

Will PM you Zav.