Paying mortgage weekly?

DaveHemmerman

Hi just a quick question, we had a double glazing salesman around last night and he mentioned that he pays his mortgage weekly, i said by doing this he was saving a lot in interest.

What i would like to know is, is what he tells me correct, and would people recommend doing it.

At the moment we are with Nationwide 2 yr tracker (4.75) i think with another year to go, i can make overpayments of upto £500 p/m

Any thoughts

Just curious

Thanks

Dave

Ian_W

Hi Dave,
!!!!!! he's a double glazing salesman - you think he's tells the truth?!? :eek:

If you could pay your mortgage weekly you could save interest but most, if not all, lenders require you to pay it monthly in their T&Cs AFAIK. Can you imagine the cost to them of allowing weekly, fortnightly, 10 days, anytime you please payments? It is possible with some lenders to make overpayments irregularly though.

DaveHemmerman

i thought it would be unlikely but thought it was worth asking the question. Like you say it would cost the banks a fortune keep tracks on payments etc.

Thanks anyway.

Wickedkitten

Does your mortgage company compound your interest daily, or annually?