overpayments

tidesendtown

Dumb question perhaps, how can I start making mortgage overpayments? I'm with Halifax and I'm allowed up to 10%. Is there a way to do it online and do I have to inform Halifax? I'm planning on overpaying about £50/month and possibly do a lump sum overpayment per year, at bonus time. Thanks!

Let_Us_See

Surely, far easier to phone lender than post here and hope the responses are correct?

John424

I make Halifax online overpayments through a direct payment from my bank account, you'll need to ask them for the reference/sort code etc and then you'll see the credits appear on your mortgage statements a few days after you made the payments. I don't make overpayments anymore since the mortgage rates have dropped so much, I don't feel it saves enough money to compensate for loss of liquidity so just stick it in my ISA these days.

sKiTz-0

You should have had a leaflet when they changed the mortgages recently with the details required (sort code, account number, reference) if not then give them a call.

I make regular overpayments monthly using a standing order set up with these details, and also have them set up as a payee under my current account so I can make one off overpayments.

HTH

tidesendtown

My mortgage hasn't been changed yet, for some reason I'm still on the old system. I was able to find the acct no and sort code on one of the older letters and made an overpayment. I can't see anything online though as I'm still on the old system showing just the mortgage balance and no other info.

littlebadger

If this any help I set up a Standing Order today to overpay my mortgage.
I did it by setting up a new SO within my online account.
The sort code and account number was in the booklet that came with my last mortgage annual statement.
I think they are the same for everyone and your mortgage account number is what identifies your personal account.
The sort code was: 30-00-00
The account number was: 00332275
Use your 14 digit mortgage account number as the reference.

wbcoms

How long after a lump sum payment arrives in your mortgage account does it take for Halifax to re-calculate your monthly payment? Do you have to speak to them to request it, or does it happen automatically?

pinkteapot

Phone Halifax and ask.

Every lender is different, and even the same lender can have different methods for different mortgage products.

I used to have an HSBC fixed rate mortgage. The only way to overpay was to increase my monthly repayment by whatever amount I wanted (but I couldn't then vary that without phoning them to ask) so it wasn't overly flexible.

I now have another HSBC mortgage, but it's a lifetime tracker, and I can make OPs online whenever I like, just by transferring money from my current account to my mortgage account.

When you phone, also ask whether the OPs will reduce your standard monthly repayment, or the term. Again, lenders vary in which they do by default so check that your overpayments will be applied in the way you want them to be.