Overpayment 'Breaks'

black_taxi_2

i understand----i will probably sell---the place u bought is for good/retirement

cake21

Similar to setmefree2 I have a standing order set up. This includes the interest rate reduction and my utility bill reductions - can't miss what I didn't have before :beer:

If there's anything left at the end of the month and I haven't planned any treats then that is OP'd as well

gallygirl wrote: »

It's not about doing less, it's about doing the same for less.

This is absolutely spot on :money:

I don't deprive myself at all. If I want that holiday / black pepper white chocolate then I have it. The difference since I became a MFW is that I think "do I want it enough to pay 2x the ticket price?"

Like someone else (sorry, forgot who ) I would prefer to make a tiny OP (lowest so far £3) rather than not OP at all that month, just to keep the "habit".

getmore4less

If you budget the year properly you know what you will be spending on what and how much the total allocated to the mortgage will be.

It is then just a cash flow issue on how income you allocate month to month to the mortgage.

Much better to budget the spends into an advanced plan that includes the non esentials.
Easier to see the tradeoff of more treats against longer term goals like being mortgage free.

LilacPixie

think you also need to focus on the small fact that each over payment yyou make is reducing your mortgage term/amount paid overall.

For example you have a 100k mortgage for 25 years at 6.3% lets pretend thats your fix for life. Your payments will be around 662 a month. If you overpay £8 per month right from day one then you will save yourself over 3k in interest alone and around 8 months from your mortgage.

Up your OP to £38 a month from day dot and you will save almost 14k interest and a full 3 years from your mortgage.