downpayments on mortgages

petalish

I have a five year fixed rate mortgage that is due to expire in November. I have also managed to save up some money which I could possibly use to reduce my mortgage then - however I'm confused as to whether I will be charged for this or not - if my fixed rate period is up, surely I shouldn't be penalised - can anyone help with this?
Also I'm ambitiously hoping to pay my mortgage off earlier rather than later; what is the best type of mortgage to go for in this situation?
Thanks in anticipation!

Barney088

Good old stock answer, it depends. Most rates sold today don't have "ERC" Early Repayment Charges once you have finished the rate, your mortgage offer will hold this detail in full and if you don't have this to hand your lender will be obliged to tell you. It is common for lenders to allow one off payments without penalty and a fair few allow this once a year, in APRIL so now is a good time to pick up the phone and find out. The sooner you start reducing the debt the sooner you'll make a saving.

Good Luck and start looking for a new rate in October time to prevent paying the Variable rate of the lender.

The new mortgage should allow overpayments or select a lower term (you don't need to follow what you already have) say your current mortgage has 20 years left, the new one can be for 10, saving you loads in the long term by forcing a larger monthly payment now.

petalish

Thanks for advice.