Mortgage Overpayments

Andrea75

Hi All,

Does anyone know when's the best time in the month to make mortgage overpayments?

I have a daily interest repayment mortgage with Halifax and they cannot provide me with any advice in this matter.

I'm making monthly regular overpayments at the beginning of the month but don't know whether I would benefit from doing this at another time.

Any advice would be appreciated.....just trying my best to make extra payments when I can.

Wentthedaywell?

If it's on a daily rest, payment is credited off your mortgage straight away. If you have a bank account paying more than your mortgage rate, keep it it the bank for as long as possible.

I'm on a tracker that's just 0.5% above BR. I made my "overpayments" into a 3% savings account that I couldn't touch and didn't count as savings. I paid lumps off £10,000 or so at a time and so benefited from the interest.

I know it would have been more canny to keep it as savings, but psychologically it is so good to have hardly any mortgage now (intending to clear the last bit by March). It makes me happier than having more savings.