Pawlala's MFW diary (Part II now underway in earnest!)

pawlala

Anyone had any experience with being charged for going over the 10% overpayment penalty limit?

pawlala

update 19th Feb 2012:

Back now to overpaying the 10% I'm allowed in 2012. This comes to around £8,000 as the mortgage is a tad over £80,000. THis is the 2nd mortgage, after the first one was paid off in 2009. Moved in early 2011 to a bigger property in roughly the same area and used the equity to fund part of the mortgage.

So... £1000 overpaid this week, with another £7,000 in the next few months. Next year the early repayment charges will be dropped and I can then pay more than 10%! 2013 will hopefully be the year I become MF for the 2nd time!

I'll keep you posted on the next overpayment soon... it may be a whopper!

pawlala

£80k barrier is broken

and that was even before my OPment of £3k this weekend. Should get a letter sometime this week telling me the mortgage is around £76500. Another £20 per month shaved off the payments.

Only £4k of this year's 10% remaining then its back to saving! Now, where to find an ISA rate better than that mortgage rate....

pawlala

Used up the remaining £4000 overpayments this week, in £1500 and £2500 transfers via online payments. So, until next January its back to saving.

My plan is a new ISA maxed in April, then 8 months of building up more savings in the best interest account until I can start OPing without penalty again. This mortgage will be gone by next year when the fixed term finishes, fingers crossed!

evab_2

Absolutely brilliant, well done pawlala amazing progress on the second mortgage x

pawlala

thankyou hopefully I'll have other stuff to update on the savings front soon. Assuming I will use savings next year I will keep updated the overall offset mortgage tally

pawlala

hello everybody! :hello:

My target of MFII has been pushed back to sometime in 2013, if not 2014. Had to buy a new car when my old one went kapputt. (sp.) Dippteded into my savings for this, but I had no choice.

I can't wait for 1st January when I can start overpaying again. Having found the delights of online mortgage paying I don't need to worry about it being a bank holiday :rotfl:

Once February 2013 comes I can OP even more than the 10% allowed within the year. However most of my savings are tied up in ISAs so next years OPments will be rolling ones from monthly salaries.

But its good to be back here for an update and I have plenty of days off in the summer and the above progressive stages to look forward to!

pawlala

My signature is updated, MF2 date expected: late 2013.

So far since being a MFW in 2009 I have reduced my mortgage payments by almost £550 per month!!!

pawlala

£80 car tax refund straight into MFWII fund. Happy days!

pawlala

payday tomorrow... oh how its needed this month! May has been a looooong one.......