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Finally taking the plunge...

About a year ago, I got a tracker mortgage at 0.16% below base. Seemed like a good deal at the time, and now it's fantastic.

With the rate at 2.84%, I've finally decided it's high time to start overpaying. £75 a month! According to the overpayment calculators I've found, it'll cut off 8 years if I keep at it.

Of course, now my direct debit won't track with the mortgage any more, so I'll have to start keeping an eye on it. Win some, lose some ;)
Debts (26.3% remaining) - CC/BARC: [strike]2058[/strike] 100.00 @0%; CC/MBNA: [strike]1877.75[/strike] 0.00; Loan/SLC: [strike]10000[/strike] 7901.84 @1.5%; Loan/Per: [strike]1500[/strike] 0.00; Loan/HX: [strike]15000[/strike] 0.00
Mortgages (94.7% remaining) -
NW: [strike]92516.94[/strike] 87565.40 @3.19%; HBOS: [strike]65599.57[/strike] 59106.45 @4%, [strike]69251.57[/strike] 68589.97 @3.49%
Total amount of fail: Dangerous (223263.66)

Comments

  • StuartGMC
    StuartGMC Posts: 2,175 Forumite
    Well done on the planning to OP, if you project forward the interest incurred on the £75 over the remainder of the mortgage you'll see it makes a big difference.

    Obviously at the rate you are paying interest you could earn more if the money was saved presently, but provided you have your reserve funds in place then you may prefer the security of reducing the capital whilst you can afford to do so, such that you owe less at a time when interest rates may rise.

    Good luck in your plans
  • setmefree2
    setmefree2 Posts: 9,072 Forumite
    Mortgage-free Glee!
    Good Luck with your quest:T:T
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