Help needed

caut_1

Not sure if this is the correct place to put this, so please move if necessary.

Due to changes in circumstances, we now have around £500 - 600 more disposable income per month, I am keen to put it to best use.

We have the following debt repayments

Loan - £596 per month - 35 months still to repay.
Mortgage - £488 on Nationwide Base Mortgage Rate.

We are looking to move to a bigger house in the next 12-18 months

should we (a) just save the extra money in ISA
(b) overpay on the loan
(c) overpay on the mortgage
(d) A mixture of the above ?

Your thoughts etc would be welcomed

thanks

Baldur

Giving the interest rates that you are paying on the loan and mortgage may help someone to advise you.

Presumably, both are higher than you would receive from a Cash ISA/savings account?

jonesMUFCforever

I would overpay on the personal loan first then save the rest.

DaiJoA

Agree with the above - if you are planning to move, chances are that if you paid a lot over on the mortgage, this would be swallowed up in the move anyway, so it doesnt really seem that worth it. If the loan allows, pay that over, and then save the rest for your house move costs.