Overpaying

skiTTish

Hi
Would my bank be able to advise me on how much we can overpay and how much that would save us on interest payments ?
Cant help thinking - why would they as its not in their best interest but I am far too dumb to work such things out .
Cheers

VIGILANT22

Quote: Would my bank be able to advise me on how much we can overpay etc

If you hold your mortgage with them of course they would as it will be in the T&C's of your contract. You can refer to your KFI which would have been given to you when your last mortgage was arranged, under Section 11 it will give details about overpaying.

11. What happens if you want to make overpayments?

Calculator.........

http://www.locostfireblade.co.uk/Downloads/MortgageSpreadsheet/Mortgage%20Schedule%20Calculator.xls

skiTTish

Thank you
Is it best to over pay by the maximum allowed each month or to make a lump sum overpayment for the maximum allowed in the year ( if thats allowed ) with regard to admin charges etc ,or does it make no difference ?

worriedindebt

skiTTish wrote: »

Hi
Would my bank be able to advise me on how much we can overpay and how much that would save us on interest payments ?
Cant help thinking - why would they as its not in their best interest but I am far too dumb to work such things out .
Cheers

they should be able to bring up the graphs in a jiffy and will be able to demonstrate how much can be saved by even a modest overpayment.

contrary to what you may think, your lender will be delighted to see you overpaying for many reasons so have no fears there.

i love showing customers the benefits of overpaying especially with tracker rates so low.. when they see they can chop years off their mortgage their eyes bulge.. its one of the few rewarding parts of my job!

good luck

fredthefirst2

please check out my calculator if you want to see the effect of overpaying

visualmortgagecalculator.com/, (not allow to post links yet, so you have to add http:www. your self)

I wanted to see the effect, which is why I made my own calculator.

katsu

Martin has a calculator here on the site http://www.moneysavingexpert.com/mortgages/mortgage-calculator Have a play and read his guides