Are we in a small minority?

RosieTiger

Just read this through from the start, its worth the read for anyone who isn't OPing.

Well done to pawlala for the regular bumping.

Is here any way this could be made a Sticky ????

It would certainly be of value for many people.

Lois_E

When I was married I made some attempts to rein in our spending but X liked nice stuff and didn't want me to stop him buying what he wanted. We ran our current account in overdraft - it would get more and more overdrawn all month and then go back to nothing when our pay came in, although I did at least make sure the CC was paid off in full every month. I had a CC when we met and he didn't, and I had always paid it off in full, so I was able to get him used to that idea when he was still young and impressionable and open to being influenced by me! In return, he taught me not to mind being overdrawn.

After we split I decided I didn't want to be overdrawn any more, so I worked at it and got back to having it positive all the time. It felt good not to be paying for that OD.

I lived in rented for a while when we were separated and all the divorce negotiations were happening. I started thinking about what sort of mortgage I would get after the divorce when I would be able to buy a house on my own. I talked to a friend at work who had a flexible mortgage and was OPing. It seemed like something I would like to do.

After it was all over and I got my lump sum I stayed in rented a bit longer while I looked for the right forever house. I got used to the idea that interest was something that the banks paid me, not the other way round.

I bought a few months ago, planning to OP as soon as I could. So far I've been spending on a bit of building work and stuff, but I'm hoping to start on the OPs soon.

Amara

I have no mortgage, but I've got loan. No-one has told me about overpayments option and I had this idea by reading this site. Bank don't say it, because it means less money for them. I've set up SO and pay £20/week overpayments. I'll pay off loan 4 months earlier. I wish I knew it before.

mummyofonechild

Amara wrote: »

I have no mortgage, but I've got loan. No-one has told me about overpayments option and I had this idea by reading this site. Bank don't say it, because it means less money for them. I've set up SO and pay £20/week overpayments. I'll pay off loan 4 months earlier. I wish I knew it before.

Well done you :beer:

originalmiscellany

Amara, well done on seeing the light! Small changes make a huge difference long term.

GeorgieFTB

I started my MFW diary before I had even bought my house, I knew that I wanted rid of this debt as soon as possible (I call it debt not mortgage as that makes it more real some how)

My parents were, and still are, horrendous with money... this made me educate myself, I have always looked for the best options, sometimes I found them sometimes I just missed the best deal, this website has changed that... there isn't a decision I make without consulting some part of this site (ohh that sounds so sad!!!)

When I had my meeting with the broker, she went through all the standard things, but my mental arthematic (but not spelling, that looks wrong!) is good. As soon as she told me how much my payments would be I went green and told her how much that would be over the term, then the question of how much could I pay extra, she looked at me funny then looked up the answer on her screen.

Anyhoo once we had been through that I got a calculator and worked out roughly how much that would save me a no brainer really.

My friends know I have a funny attitude to money, they just accept me for who I am, and I accept them for who they are... it works for us

Gx

sarahevie

I've actually been surprised by how many friends are oping.

Some are because their parents did, albeit on a small scale and usually towards the end of mortgage, when wages had risen so relatively payments were smaller.

I was chatting to my neighbour last week and she was saying that she fixed at the wrong time, for 5 year:eek: We did it ourselves, she is reverting to the variable in June and she was saying that the extra 160 a month was going on Oping to reduce the term.

I think many don't shout about it, but I've been really surprised at how many do know about it and are considering it.

jamesd

RosieTiger wrote: »

Is here any way this could be made a Sticky ????

I hope not. It's a really poor topic that doesn't point out the good reasons not to overpay, but just looks at interest saved on the mortgage. No discussion of interest lost, early retirement lost, reduced living standards during the overpayment and in retirement and such. Not even discussion of how to most efficiently clear a mortgage.

There's even discussion of overpaying when mortgage interest rates are low and below savings rates as if that's a good thing, not a bad one.

SmlSave

Sorry to be nosey jamesd but why are you reading the MFW board if you don't agree with Oping?

I've done my research and I'm happy with my choice to OP when I can.

jamesd

Because this board is about becoming mortgage free, not just about making regular overpayments on a mortgage. And as Martin put it in that first message, it "isn't about cutting back on everything, it's about running a niced balanced life with no waste to clear your mortgage".

There's more than one way to become mortgage free and more than one way to do it in the context of a nice balanced life. Regular mortgage overpayments are also a pretty wasteful way of clearing a mortgage, given the other ways it can be done.

If regular overpayments are the appropriate way for you to go about clearing a mortgage with a nice balanced life, that's entirely fine. For many people it is the best way to go. My balance includes things like being able to support myself if I can't work, retiring early and living well, along with clearing the mortgage at an appropriate point in that planning. And trying to do all of those things with a lower level of wasted money than just making regular mortgage overpayments.