Nram Mortgage

geeka

Hi Guys, I'm new to the board. I was on the debt free wannabie board and paid off £26k in 6 years from silly overspends but thats now done.

My next goal is getting rid of my mortgage. I can afford to pay quite abit of my nram mortgage but i have a number of issues.

1. im in negative equity (house worth 65k mortgage of 77K)
2. because of old bad debt and neg equity i cant re mortgage
3. ive got 1 mortgage and 4 further advances (again stupid on my part)

I am on a replayment mortgage and have 20 years left. I can make an overpayment of £500 a month BUT my question is do I split the money between the 5 different loans OR try and pay the smallest first? I asked NRam and they said they cant tell me what the best thing to do is.

Any advice or links would help as i'm not quite the standard situation.

Thanks
Tim

Horseunderwater

Which one has the highest interst rate? That would be what I would do. But others may advise differently.

ikhnos0512

If all the loans are at the same interest rate, it won't make any difference (or maybe tiny differences due to differing settlement dates, etc.).

I would pay off the smallest one first, just for the psychological boost when it's gone

geeka

I think they are all the same rate, maybe a little different by 0.25%. I'll check and pay off the one(s) with the highest interest rate first then.
Thanks, just wanted to check.

Thrugelmir

Do you have an unsecured loan ?