Mortgage Free in Three Yrs

Mudbath

Hiya
Lots of people doing really well:T . I finally jumped from the one account to the A&L 3.9% for 5 year with no fees deal. I know the rates could come down further but i'm happy paying that for five years so we went for it. We can only pay 10% extra off a year but we have a plan!

The Plan!
At the moment we have 15 years left on the morgage. We're going to pay of an extra 10% a year for the duration of the fixed rate. We'll also put additional savings in an account. At the end of the five year fixed we'll remortgage for another 5 years and pay the mortgage off in that time. This will reduce the mortgage by 5 years saving a fortune!!

It means the figures I give from now on will be virtual. They won't have actually been paid off the mortgage but they will be once we come out of the fixed deal. I think that makes sense!

So, onwards and upwards! I finally feel in control xx

Dithering_Dad

Mudbath wrote: »

Hiya
Lots of people doing really well:T . I finally jumped from the one account to the A&L 3.9% for 5 year with no fees deal. I know the rates could come down further but i'm happy paying that for five years so we went for it. We can only pay 10% extra off a year but we have a plan!

The Plan!
At the moment we have 15 years left on the morgage. We're going to pay of an extra 10% a year for the duration of the fixed rate. We'll also put additional savings in an account. At the end of the five year fixed we'll remortgage for another 5 years and pay the mortgage off in that time. This will reduce the mortgage by 5 years saving a fortune!!

It means the figures I give from now on will be virtual. They won't have actually been paid off the mortgage but they will be once we come out of the fixed deal. I think that makes sense!

So, onwards and upwards! I finally feel in control xx

I'm so jealous, I have been reading/contributing to the A&L thread on the mortgage board and it looks such a great deal. I don't think rates will fall any further, in fact I think they'll shoot up over the next couple of years. The trouble is that I'm locked into my current deal for another year.

angelavdavis

Desperate_Housewife wrote: »

Hi all,

Just logged on to send tallgirl my updated balance which is now £10k!

Fantastic news DH!!!

I think everyone is doing so well!

All these lower mortgage rates v savings rates scenarios make things so much more complicated than when the challenge began - well done TTBG and Mudbath!

Superfast_Gran

Mudbath wrote: »

Hiya
Lots of people doing really well:T . I finally jumped from the one account to the A&L 3.9% for 5 year with no fees deal. I know the rates could come down further but i'm happy paying that for five years so we went for it. We can only pay 10% extra off a year but we have a plan!

The Plan!
At the moment we have 15 years left on the morgage. We're going to pay of an extra 10% a year for the duration of the fixed rate. We'll also put additional savings in an account. At the end of the five year fixed we'll remortgage for another 5 years and pay the mortgage off in that time. This will reduce the mortgage by 5 years saving a fortune!!

It means the figures I give from now on will be virtual. They won't have actually been paid off the mortgage but they will be once we come out of the fixed deal. I think that makes sense!

So, onwards and upwards! I finally feel in control xx

Hey there, we've just signed up for this deal too, even though we were mid-way on another 5 year deal. Even paying the ERC we will be better off!

Just as an aside for you though, although we too (obviously) have the option to overpay by 10% annually in January on top of that we can repay up to £499 MONTHLY. ie the monthly amount they set PLUS any extra up to the £499 - you might want to check out if you can do the same and it should bring your balance down just that little bit quicker.

We were already on a 5 year fixed with A&L but this was too good not to go for as the rate we were on was 6.24%!!!!! Don't know what made me look at it or apply but I did and now we've more actual cash flow! Yay!!

Mudbath

Hiya superfast gran - i've heard a few others say they can pay up to £499 a month too but when I phoned we were told we can't. Think i'll phone up again to double check as that would be fantastic. It's nice to know what we're paying for five years isn't it - hope your ERC wasn't too painful! xx

Superfast_Gran

Hey Mudpath - it was painful, but relieved somewhat by the thought that we will save money in the long run. Hey ho!

Mudbath

I know what you mean....sometimes it feels much more positive to cut your loses and just go for it. Here's to some faster paying off mortgage vibes to us both!

benbenandme

I've just switched to it too Mudbath and I was told I can pay the £499 a month too, although tbh, I'll probably build it up as a matched betting fund and then overpay once a year anyway

ailuro2

Tallgirl, I will PM you my April balance

Outstanding balance £31994
New notional balance £2299
Yes, I'm the one who took the overpayment fund out of the mortgage and put it in fixed rate accounts, sorry if it confuses the spreadsheets.:o

Another bit closer this month, but the money in the current account doesn't cover the notional balance, (not that it would be paid off anyway, the savings are tied up till November) and we have bills to pay halfway through the month, but it's getting so close I can almost smell it.....

ailuro2

Dithering_Dad wrote: »

Please Note: As we are now one year into the three year challenge, the challenge is closed to new MFW's. If you want to join an 'ongoing' MFW challenge please enroll on one of the other MFW challenge threads.

Dithering Dad - I'm pleased to remind you that your very first post that started off this wonderful thread can now be amended to say we are now TWO years into the challenge....:j :j