Overpay on both accounts or just one?!!

FrugleRock

Hi everyone

We have 2 mortgage accounts and are looking to overpay (only by a hundred pounds each)

The rates on the accounts are 4.69% and 5.74%, should we stick with paying 100 onto each account or put the 200 onto the higher rate account??

Thanks in advance

Gemx

Peelerfart

200 onto the higher rate account as long as there are no overpayment restrictions

and "only a hundred pounds each" makes a difference in the long run, believe me.

Robert_Sterling_3

FrugleRock wrote: »

We have 2 mortgage accounts and are looking to overpay (only by a hundred pounds each)

The rates on the accounts are 4.69% and 5.74%, should we stick with paying 100 onto each account or put the 200 onto the higher rate account??

First Account: Pay off £100 Interest per annum down £4.69
Second Account Pay off £100 Interest per annum down £5.74

Total interest down £4.69 +£5.74 = £10.43

or

Second Account Pay of £200 Interest down £11.48
.............................................................................

The general rule is always pay off the higher interest account first. :j

FrugleRock

That's great, thank you for your time

Gemx