Overpaying or debt ridding

coletteflaherty

I only really have two debts, feel quite lucky in comparison to some peeps on here really.

Nationwide loan of £3,000 which I have been paying for about 1 year and a half. 5 year term and 6.5% interest

Student loan of £3,088 which I have been paying off since July 2004 at a rate that varied, but now seems to be £90 a month. No idea on interest rates as not received a letter for years! I've worked out I've paid £2,072 so far.

I overpay on my mortgage by £114 a month. Should I stop doing this and pay off these other debts. I like the idea that I'm reducing my mortgage by 9 years if I carry on as I'm going.

lynzpower

I think your studnet loans is about 3%, give them a ring.

If you are comfortable as you are, then I would continue overpaying the mortgage as you will be saving SHED loads of money in the long run.

Not the most DFW statement ever, but MSE all the same :money:

kevin_M

i agree with lynzpower
check what your student loan stands at if its 3% its not worth it and just keep working towards your mortgage

plus most loans willnot let you overpay..

bargainbetty

If you can find out the interest rates for everything, try the snowball calculator (I can't find the link, sorry). Try a few different variants, and it will tell you what is the quickest route.

Just a thought x

coletteflaherty

Cheers guys. Finding this site very useful.