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Early redemption mortgage, ways to minimise exit fees?

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Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    By redeeming the mortgage you'll save X in interest.

    However you will pay Y in ERC's.

    On your savings you would have earnt Z in interest.

    So do the sum X minus Y minus Z.

    If the answer is positive you should redeem.

    If the answer is negative then you should wait.
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Interest only upto the end of the charge period, you have to take into account the penalty free payments that can be made, either one offs or monthly.
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