Using Nationwide O/P Reserve as savings pot?

delmar39

essexsi wrote: »

Thanks very much for the detailed post. It is better when you hear how other people are doing it, that way you get real world info and can apply the best bits to your own situation.

I think you are right that I have to treat the mortgage OP as spent money, it's gone, I cannot access it. Yes of course its there for an emergency, but I have to forget about it! Otherwise I may treat it like a savings account and dip into it.

Plan of action- Keep a few hundred for emergencies, OP what I can afford to forget about and save as much as I can at the highest rate I can for my next deposit.

At least I have a plan!

Thanks very much for getting me to think about it! Cheers Si

That's ok and sounds like a plan! It's all about balancing your priorities as well as living your life. OPing, saving and having money as a backup is a great way of managing things. At least your OPs will be accessible if ever you need them. That's the way I look at it.

You can join the MFW thread https://forums.moneysavingexpert.com/discussion/2062237 and get yourself a number like the one in my sig below. You fill in a form, set a target and update the form everytime you OP - Cake kindly manages this. This really keeps me motivated. It's worth doing just to get you in the habit

Lynn11

What you are proposing to do is what we did recently. We moved house in June and I had been overpaying - bringing down the mortgage before it got ported over therefore we were able to get reasonable rate for part 2 of our mortgage. I also had savings which we used a bit for the fees (invoiced direct to us instead of off the house sale) and also got some money left over to do up the house and make a few extra small overpayments on our increased mortgage.

Good luck.