Mortgage Free in Three Yrs

TallGirl

Wow so many new members that is great and lovely to see so many different targets and reasons for repaying the mortgage early. I have been away with work for a few days and will be off tomorrow again but at least I have a bit of spare time this afternoon to catch up.

This month I have not really done anything specifically to repay the mortgage just the £1000 "normal" payment and trying to be MSE.

Just got my mortgage statement from Woolwich and according to them we have saved £68.26 this month by off-setting our savings. They show you how much you have off-set each day in savings over the whole month and a nice surprise to see that our balance never got below £12300 which is a lot more than I thought. I do not have access to DH account but using this I can work out what he has in his. A bit sneaky I know:A .

I have yet to tell him about my 3 year Quest. I know he will be up for it and in particular as he is due £5000 his uncle left him. Even if he only agrees to offset it it will be a major boost for this challenge.

Anyway enough rambling from me, I feel a bit priviledge you will get me be a member dispite being the tallest. Take care all.

cazbarfeatures

TallGirl wrote: »

Wow so many new members that is great and lovely to see so many different targets and reasons for repaying the mortgage early. I have been away with work for a few days and will be off tomorrow again but at least I have a bit of spare time this afternoon to catch up.

This month I have not really done anything specifically to repay the mortgage just the £1000 "normal" payment and trying to be MSE.

Just got my mortgage statement from Woolwich and according to them we have saved £68.26 this month by off-setting our savings. They show you how much you have off-set each day in savings over the whole month and a nice surprise to see that our balance never got below £12300 which is a lot more than I thought. I do not have access to DH account but using this I can work out what he has in his. A bit sneaky I know:A .

I have yet to tell him about my 3 year Quest. I know he will be up for it and in particular as he is due £5000 his uncle left him. Even if he only agrees to offset it it will be a major boost for this challenge.

Anyway enough rambling from me, I feel a bit priviledge you will get me be a member dispite being the tallest. Take care all.

Hi,

what does it mean to offset your mortgage against your savings?

thanks
Caz

TallGirl

Hi Caz
Off set simply mean the bank off sets your savings agains your borrowing so you only pay interest on the amount you owe. Similar to the One Account but Woolwhich lets you keep it all seperate. We have a £45500 mortgage so with £12000 savings we only pay interest on £33500. It does mean you dont get any interest on your savings but we are quite happy. DH is a higher tax payer so makes it worth it. Hope that makes sense

cazbarfeatures

TallGirl wrote: »

Hi Caz
Off set simply mean the bank off sets your savings agains your borrowing so you only pay interest on the amount you owe. Similar to the One Account but Woolwhich lets you keep it all seperate. We have a £45500 mortgage so with £12000 savings we only pay interest on £33500. It does mean you dont get any interest on your savings but we are quite happy. DH is a higher tax payer so makes it worth it. Hope that makes sense

... and you can still withdraw from and add to your savings and the amount you pay interest on goes up and down accordingly?

thanks
Caz

cazbarfeatures

I know I will come across very negative here but a 150k mortgage
paid off in 3 years? I want to come and live with you!

Seriously how are you going to do it?

I realise people have tailored their targets here according to their
circumstances and I can do the same but I'm just curious.

thanks
Caz

ThankYouAndEnjoy!

cazbarfeatures wrote: »

Seriously how are you going to do it?

Caz

Hello ...

Check out Dithering Dads other Thread. Gives you all the information you need to know

Click Here

Miss_Penny_Pincher_2

Dithering_Dad wrote: »

The first month of the challenge ends on 30th April, so we could all post an update on or around that date covering what MSE, etc. things we've done during the month to help pay off the mortgage and what we hope to do during the next month.

My update is:

● Paid £500 overpayment on mortgage
● Opened ISA for Mr Pincher and he agreed to contribute extra £65 every month to help us reach target - great to have him a bit more on board!
● Obtained £130 credit back from water company, £30 from O2, £70 from BT - have put all these in savings.
● Doing online focus group over 3 days for £50.
● Obtained interest earlier than expected from NS&I ISA which has contributed extra £147.

I have a little routine to monitor progress and keep me on track - I hope you are happy for me to use it here too. Our online mortgage statement updates with latest payment on the 28th so I always check it then and was planning on providing you with an update then on where mortgage stands. On the 30th I like to check savings to see how have progressed over the whole month so will be an ideal day to report back.

My aims for next month are:

● Continue £500 monthly overpayment on mortgage.
● Both Mr Pincher and I to earn extra overtime - unlikely to be allowed by our employers to earn more than £40 each though.
● Sell items we don't need for £300.

I'm aiming to save £725pm :eek: Looks like will make that this month as long as I don't go on mad spending spree...

Dithering_Dad

Miss_Penny_Pincher wrote: »

I'm aiming to save £725pm :eek: Looks like will make that this month as long as I don't go on mad spending spree...

That's great work Penny! *impressed* I'm the same though, I save like mad and then struggle not to blow it all on daft stuff!

Thanks for providing the link to Caz, TYAE. Though you did ruin the exciting story I was about to spin concerning daring bank robberies, jewel heists and letting it all ride on a Nag at Chepstow.

TrikerAndBiker

Dithering_Dad wrote: »

no. go away tigtag, you'll kill my thread!!

Sure you can join, but try and think of some way you can set a target for your challenge. If you can't put a price on it, then try something similar to TrikerAndBiker, who are aiming to reduce their mortgage term by 2 years (which now I think about it will be reduced by three years by the end of the challenge just by the passage of time!! I guess they mean, reduced by an additional 2 years, on top of the three it'll be reduced by anyway by the end of the quest. Jeeze, this is confusing!)

You're confused???? this is our mortgage and I haven't got a clue!!!:doh:
Anyways we will pull our socks up and reduce this darn thing! I've just surrendered a poorly performing endowment and will be changing the interest only part over to repayments once the tie in we are on finishes at the end of June.

Just the one query, and this is probably a VERY stupid question, but once we have changed the whole mortgage to repayments and we go in to overpay are we supposed to tell the Halifax that we want this amount taking off the capital?? or the interest?? (and if thats completely wrong then please excuse my ignorance lol)

Ladybiker

cazbarfeatures

Just wanted to say that I read your other thread about your plans and why you are doing it and you sound like an amazing Dad.

Good Luck