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Mortgage free in 5 years.
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No idea... maybe I am completely wrong (I don't know much about these things) but that it what I assumed when I saw mine going upMan plans and God laughs...Perhaps travel cannot prevent bigotry. But by demonstrating that all people cry, laugh, eat, worry and die, it introduces the idea that if we try to understand each other, we may even become friends.0
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Well the overpayments I made don't seem to have brought my balance down at all.
First my mortgage balance went up and then after the second payment it only reduced by 1p, what's that all about?
Has anyone else got any info about Halifax mortgages and making overpayments?
I was on a special rate thingy for the first 3 years which meant I couldn't overpay more than 10% of the balance but that came to an end and afaIk there are no penalties for making overpayments any more.
Has anyone else had this happen?Karma - the consequences of ones acts."It's OK to falter otherwise how will you know what success feels like?"1 debt v 100 days £20000 -
Kittiej
I am not entirely sure how your lender adds the interest to you account but it is most likely that it is done on a daily basis.
If this is the case the the balance you owe will go up during the month as the daily interest is added to your account. When your next monthly payment is made then you should see it drop down again as the payment will include the interest and a capital portion.
If interest is calculated and added on a daily basis then your overpayment will be reducing the amount you owe from the day you made the payment and that will reduce the interst still further giving you a double benefit.
LT0 -
little_turnup wrote: »KittiejIf interest is calculated and added on a daily basis then your overpayment will be reducing the amount you owe from the day you made the payment and that will reduce the interst still further giving you a double benefit.
LT
Interest is usually calculated daily and added on a monthly basis. It is never added daily. However, IIRC some mortgages also add the interest when a OP is made.In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot:cool:0 -
OK thanks guys.
I will keep an eye on the balance to see if it goes up any further and if it doesn't then the interest must have been added when I overpayed.
You can tell this is all new to me can't you :rotfl:Karma - the consequences of ones acts."It's OK to falter otherwise how will you know what success feels like?"1 debt v 100 days £20000 -
Good Luck with your quest too. Unfortunately I cannot make online payments or view my mortgage account that way. So have set up a standing order to do that for me. Shame I cant see the balance go down till the next statement in Jan 2011 tho.Mortgage Free as of 31/5/11 :j:j:j:j:j:j:j0
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My Nationwide mortgage has its interest added daily so if you monitor it online it goes up everyday. Are you sure there isn't a way to view a Halifax mortgage online through online banking? It seems strange that a major player like them wouldn't offer this facility. On my Nationwide one, you can then see the overpayment added on to your normal payment so you can see that its been 'received'.Predicted Net Worth 31/12/2018: -£38,898.03/-£34,616.86Target 31/12/2019: -£25,000Extra Income 2019: £1,500/£732.38Target Weight Loss 2019: -14 LBs/-2.5 LBsAs at 3/4/2019 MFiT-T5 No 490
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Hello, welcome and good luck with your journey.
My mortgage is with Nationwide and like Thriftyknickers's interest is added on a daily basis.
I'm afraid I must put my hand up to being a bit of a saddo where overpayments are concerned... I log on daily (sometimes even more often) after I've overpaid, till I see them hit my account, and then I work out how many pennies interest they've saved me per day/week/month etc!!
QB0 -
My mortgage is with Nationwide and like Thriftyknickers's interest is added on a daily basis.
If your interested is added daily, then it must be compounding (i.e. interest on interest), which means each day it will increase slightly, from the previous day. Is this the case - I doubt it very much. If it is then NW are sh*fting you!In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot:cool:0 -
Yes afaik the interest is calculated on a daily basis but added only once a month usually around the 1st. That would tie in with what you said Jon.Karma - the consequences of ones acts."It's OK to falter otherwise how will you know what success feels like?"1 debt v 100 days £20000
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