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Fixed or Variable

Got a fixed rate mortgage at 4.49% with 30months left at the fixed rate and a variable thats always 1% above BoE base rate both with HSBC.

We are in a situation where we can afford to keep our mortgage payments at same amount as what they were Jan 08 so want to overpay each month.

Do I overpay the fixed (max 20%) or overpay the variable mortgage

Anyone help on this please

:money:

Comments

  • koexelek
    koexelek Posts: 7,847 Forumite
    Got to be the fixed I would have thought.

    As interest rates stand at the moment, why borrow at 4.49% when you can borrow at 1.5% ?
    I am a Mortgage adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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