Mortgage with Nationwide, a bit of help please.

evosy1978

Hi.

We got the keys yesterday.

When can I expect the first payment to be taken from my account? Do I have to have contact anyone.

Also, I have a 10% per year overpayment facility. Is this 10% of the loan or the loan plus interest...?

Thanks

BaxUk

evosy1978 wrote: »

Hi.

We got the keys yesterday.

When can I expect the first payment to be taken from my account? Do I have to have contact anyone.

Also, I have a 10% per year overpayment facility. Is this 10% of the loan or the loan plus interest...?

Thanks

10% of the original loan amount

kingstreet

First payment is normally a couple of weeks after completion and it will be interest from the drawdown date to the end of the month, plus the normal payment for the following month.

If you look at your KFI and your offer, they always use an assumed completion of 1st of the month to make the first payment look as large as possible.

evosy1978

Thanks.

Yes the first payment is £700 and the rest are £458. I presume the drawdown is when the money first arrived with the solicitor? This was the 6th december. So if the £700 was calculated from the 1st of the month then this £700 will have to be re-calculated?

kingstreet

Yes. 1st is juts an assumed date.

If the drawdown date was 6th, your accrued interest is 25 days, until the end of December.

You can work it out;-

Mortgage amount £ x rate = annual interest.

Divide annual interest by 365 and multiply by the 25 days.

Add that to your normal monthly payment and that gives you your first payment.