Shrinking my mortgage term

wackybackyjacky_2

I have a life time tracker mortgage currently at 1.85% above BOE rate and 18 years left to run. I want to shrink the term and can overpay by roughly £100 per month or even a little more, my question is what is the most cost effective way to achieve this?...............should I overpay or, is it more economical to invest £100+ per month and then pay off a lump sum.

Eonel

Personally, I make any overpayments into a seperate account.

You have to do is find a saving account that pays interest at BOE rate+1.85% after tax & at the moment you can easily get cash ISAs that pay >3%.

I do it this way as it means I keep control of my cash. if I need that cash back I can just take it from my own account. I do not have to ask the banks permission to drawdown the money from my mortgage.