Sweetdaisy's aim to be mortgage-free

sweetdaisy

Total mortgage overpayments made this month so far is £93. I am building up my little savings 'pots' nicely and it's great piece of mind to know that I have these little pots, so that I don't have to dip into the Emergency Fund.

Received a letter from the Water Board this week to say that based on their meter readings, my monthly bill will be reduced by £17. I wonder where that extra £17 will go :think: !

Had my half yearly Valuation Statement in the post for our Investment ISA and in the past 6 months it has gained £576. I am really happy with this as I pay £100 a month into it. This money is going to be used for the children when they are older: Uni/College fees, help to get on the property ladder etc. so this is a long-term investment as DS1 is almost 5 years old.

I am going to speak to my Manager this week to see if it is possible for me to do a 4 day week once a fortnight or so and use the leave I accrued whilst being on Maternity Leave for this. Really struggling at the moment working full-time and having such a long commute to work, that I feel that I am missing out on the children's school activities and not being able to spend as much time with them as I'd like.

sweetdaisy

Received a letter today from my Mortgage provider to say that they have reduced my offset flexible mortgage facility. This means that my minimum monthly payment has reduced by £29 which means that as I have increased my monthly payment to £750, I now make an automatic overpayment of £136 a month.

I am a little confused by this, as having spoken to Natwest a few times they informed me that my minimum monthly mortgage payment will remain the same for the duration of the mortgage as the offset is working by reducing the term, unless of course the interest rate rises?

Does this mean that by overpaying this reduces the mortgage facility which then automatically reduces my minimum payments? Any advice is welcome for this confused little bunny .

megela

I was very confused when I got the same letter from natwest. I think they're saying that if they were to re-work out your payments over the remaining term they should be £29 less due to your OPs, but they are keeping the dd at the agreed rate. So you're overpaying automatically. But it's not at all clear is it?

sweetdaisy

megela wrote: »

I was very confused when I got the same letter from natwest. I think they're saying that if they were to re-work out your payments over the remaining term they should be £29 less due to your OPs, but they are keeping the dd at the agreed rate. So you're overpaying automatically. But it's not at all clear is it?

Hi megela

My mortgage is with Natwest too. Yes they are keeping my DD the same so that I am automatically overpaying more and it does make sense that the minmum monthly payments would reduce to reflect the overpayments made. However, when I have asked them about this in the past they have told me that my previous minimum monthly payment of £643 would remain the same for the duration of the mortgage! Think that I will phone them tonight to clarify.

sweetdaisy

sweetdaisy wrote: »

Received a letter today from my Mortgage provider to say that they have reduced my offset flexible mortgage facility. This means that my minimum monthly payment has reduced by £29 which means that as I have increased my monthly payment to £750, I now make an automatic overpayment of £136 a month.

I am a little confused by this, as having spoken to Natwest a few times they informed me that my minimum monthly mortgage payment will remain the same for the duration of the mortgage as the offset is working by reducing the term, unless of course the interest rate rises?

Does this mean that by overpaying this reduces the mortgage facility which then automatically reduces my minimum payments? Any advice is welcome for this confused little bunny .

I have contacted Natwest and it now makes sense . Due to my overpayments my mortgage facility has reduced which means that the amount of money that I can draw down has increased (i,e. can get my overpayments paid back if I want to). So, as I continue to make overpayments my monthly mortgage payment will reduce over time, as will my term.

I am relieved by this as I was under the impression that my monthly mortgage payments would remain in the £600's, but as time goes on and this reduces, this gives me more scope when looking to change jobs/reduce hours.

sweetdaisy

My car had a MOT and full service this week, costing £165. Not too bad as it did include two new front tyres. Had a couple of advisory recommendations such as exhaust and front shocks may need replacing soon. Also paid out £155 this week as both of our Car Taxes are due at the end of the month. This was all paid out of our Car savings 'pot' and as I only have £65 left in the pot I need to build this up again.

Made a £24 overpayment today and have reduced the mortgage by another month . We are now due to repay mortgage in November 2023 (2 years and 2 months earlier than original end date).

Spoke to my Manager this week and it is fine for me to work a 4 day week once a fortnight, by using a combination of Annual Leave and Flexi Leave, or I can take a Monday and Tuesday off once in every 3 weeks. So this will enable me to spend some more time with the children and it just makes me feel better knowing that I can use my leave in this way. This will make it easier to attend school events and medical appointments for the children . On another note . . . there is talk of a huge funding cut next year which could have a detrimental effect on the sector I work within. This could mean that the service is cut completely, staff redundancies or taken over by another company! I am still looking for jobs, but may need to think about whether I should look to change sector.

sweetdaisy

Done my usual shift of monies between accounts and £51 mortgage overpayment made this week. DH spent around £300 on parts for his mountain bike this week, but this was taken out of his 'Biking pot'.

Credit Card statement received this week and last month I earned £15.21 cashback. Total cashback to be paid in January 2014 is now £57.62.

Since I started my MFW journey I used to impulse buy. I didn't used to spend much but would just buy little things I didn't really need when out and about. Now, I can't remember the last time I bought something that I didn't need! How times have changed :rotfl:.

I have booked a 4 day break in a Caravan in Devon for the end of July. Can't wait as we feel that we need a nice break. The boys are excited as they love staying in a Caravan, so really looking forward to us spending some quality time together. We are also hoping to go to Center Parcs mid September, when DH gets some time off from work. Can't go in the summer school holidays as the prices are extortionate!

Had a 4 day week in work this week and I am working 3 days next week . DS1 had a school concert this week which was brilliant and he seems to be growing up too quickly. DS2 had an Orthotist appointment this week to be measured for new shoes, so we will have to wait around 6 weeks for them to be made.

Due to DS2's growth spurt I sorted out his wardrobe this weekend. I kept a lot of DS1's good clothes, so have re-washed them and they look like new. So, DS2's old clothes are in a bag waiting for the next charity bag to pop through the door.

sweetdaisy

Today is DS1’s 5th Birthday so had a little tea party in the house _party_ . Had a few children over and it was completely manic for a couple of hours, but fun, especially as the weather has been good so they were able to play in the garden.

Monthly interest was added to the mortgage today -£177. I am pleased with this as it has saved us £72 this month by Offsetting, but in real terms it has reduced the mortgage by £93. I love seeing the mortgage reduce without having to physically make an overpayment :rotfl:.

Received a letter from DS2’s Nursery (that he will be attending in September). It is linked to the school and he has to attend 4 mornings a week. I contacted them as it will not always be possible for him to attend 4 mornings, but can make a minimum of 3 sessions. It’s difficult juggling morning sessions as DH and myself work full-time, also he attends another Nursery 2.5 days a week and if I pull him out of his other Nursery he will lose his place :eek:! Luckily my parents will pick him up 2 afternoons a week for me. Anyway, they said it is ok for him to go 3 days a week (some weeks) but I have to pay for 4 days. Luckily I am building up my Childcare Savings ‘pot’ as this will come in handy as our costs will increase by £28.80 a week from September.

QB_Wolf

sweetdaisy wrote: »

Today is DS1’s 5th Birthday so had a little tea party in the house _party_ . Had a few children over and it was completely manic for a couple of hours, but fun, especially as the weather has been good so they were able to play in the garden.

Snap - made a real difference having nice weather - glad you had a good day:j

sweetdaisy

Pay Day today and despite getting paid extra for working Spring Bank Holiday and being paid for one week On-Call, I am only better off by £44 -due to increased childcare costs. I have spread the £44 between our 5 main savings ‘pots’. Only put £8 in each pot, but it all helps.

£16 mortgage overpayment made due to redeeming from a survey site.

I have sat down with DH and worked out a ‘childcare plan’ for the summer school holidays. Due to DH now working shifts he will be able to look after the children when he is off, so this will save us £200 in school club fees for DS1.