Over payments when on a fixed

Angela_D_3

So at the moment we owe £206,800 and are on a fixed rate of 5.45% which comes end in March next year. By complete accident we discovered in January this year we could have been over paying by £500 a month for the past 4 years but we have done so ever since.
So when the fixed rate comes to an end we'll be £400 a month better off, does any one know if on standard variable we can add that to the £500 to pay £900 off or will it still be £500 in total ?

adwat

Just ask your lender Angela.

Sunnyday

Hi Angela,

when our fix came to an end we were allowed to overpay by as much as we wanted but i`m not sure if all mortgages let you do this.

Have a quick look through your paperwork and see if the answer lies in there - if not make a quick call to your lender.

Hopefully you will be able to overpay by as much as you want.
Good luck!

SD

kingster2069

Hi Angela,

Which lender are you with? My mortgage allowed us to over pay as much as we wanted when we went onto the SVR. £900 a month extra should really help reduce you mortgage length and help you get a better remortgage interest rate.

Angela_D_3

We were with the alliance and leceister, am a bit peeved and loathed to stay with them because we were told we could only over pay in January and of course that is the only month we never had a spare bean. Either they recently changed that rule or else never mentioned it until we accidentally overpaid but when I think of the interest we'd have saved over the 4 years I feel a bit sick tbh.

Sunnyday

Angela_D wrote: »

We were with the alliance and leceister, am a bit peeved and loathed to stay with them because we were told we could only over pay in January and of course that is the only month we never had a spare bean. Either they recently changed that rule or else never mentioned it until we accidentally overpaid but when I think of the interest we'd have saved over the 4 years I feel a bit sick tbh.

Ours is or rather was Alliance & Leicester too, 5 yr fix and could overpay by £499 per month and then up to 10% of the outstanding balance each January so sounds really similar to us.


HTH

SD

LA83

Sunnyday wrote: »

Ours is or rather was Alliance & Leicester too, 5 yr fix and could overpay by £499 per month and then up to 10% of the outstanding balance each January so sounds really similar to us.


HTH

SD

Same as mine , spoke to my broker yesterday he said the svr is 4.99 on my mortgage and my fr is 5.09, so time i come to remortgage in november it will probably have risen again

Sunnyday

LA83 wrote: »

Same as mine , spoke to my broker yesterday he said the svr is 4.99 on my mortgage and my fr is 5.09, so time i come to remortgage in november it will probably have risen again

Ours was supposed to be 4.2 when the fix ended but something had changed according to A&L and we ended up paying a lower SVR, i suspect that it had something to do with the takeover but no one could explain it properly when i called. I asked for it in writing to be on the safe side and paid the lower amount.

SD

EDIT you can look for a fix in advance as it is held for a while after applying,i think that some go up to 6 months so you could get a fix up to 6 months before your current fix ends and just start it when the time is right. Best to ask your lender.

LA83

Sunnyday wrote: »

EDIT you can look for a fix in advance as it is held for a while after applying,i think that some go up to 6 months so you could get a fix up to 6 months before your current fix ends and just start it when the time is right. Best to ask your lender.

Thank you, i didnt know that was the case so i'll look into it:j.