yet another silly q sorry

elantan

hey all,

silly q but i cant figure out in my head what the answer is .... i have a fixed rate mortgage and have done for years ( i'm happy with it, i need the security of payments not going up beyond my ability to pay)

i pay the same amount every month ... so for 12 months of the year i pay £526.34... my interest is added daily ...

now i know this is silly ... but does anyone know why i dont pay less on the 30 day months and more on the 31 day months and obviously less on the 28/29 day months ?

i just thought ( possibly wrongly) that if the interest was added daily then the monthly amount taken would be different ... i thought that every month i would pay a % of the capital and all the interest accrued for the month ?

can anyone explain it to me

thanks in advance

el

hcb42

interest is added daily, but you pay in 12 instalments...

elantan

so its just averaged out over the year then?

Thrugelmir

elantan wrote: »

so its just averaged out over the year then?

Over the term of the fix rated product.

elantan

thanks that makes perfect sense now ...i mustve had a brain fart or something as i just couldnt figure it out before