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Interest only Mortgage

Sorry if this seems a daft question but i have gone to an interest only mortgage ( for a year or so ) and i was wondering if i had some extra money at some time:rotfl:would i be able to pay off some of the mortgage balance or as i am on an interest only mortgage would it just come of the interest

Comments

  • begbeer
    begbeer Posts: 225 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Whatever you pay over and above the interest only amount comes off the capital thereby lowering your payments. But make sure that your mortgage company accepts overpayments and also tell them you want either to lower your monthly repayments or if possible keep them the same and reduce your balance even more, But check first with mortgage company to see what you are allowed to do
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