When is best time to pay extra money into mortgage?

drjunk

Hi. I want to pay a single yearly overpayment into my mortgage, and was wondering when would be the best time to pay it in the year? My mortgage started at 28th Dec last year. Many thanks.

Thrugelmir

Mortgage interest is normally calculated daily and charged monthly.

So in answer to your question as soon as possible.

MarkyMarkD

Unless there are Early Repayment Charges which exempt a certain amount per month (often £500) or per year (often 10% of capital). In those cases, you might want to restrict the capital payments to the amounts which are exempt.