Savings or Mortgage Overpayments?

Pepperoni

We would like to overpay on our mortgage once our debt is paid. We currently have no emergency fund. Would you save an emergency fund first? Or would you put money into both pots? Interested in hearing what people think is best. Thanks.

Yorkie1

I always think you should aim to have an emergency fund of 3-6 months' expenditure as a minimum, to cover loss of job or other major costs such as new boiler or car.

Then overpay, assuming you don't have a ridiculously low mortgage interest rate on which you pay less interest than you could get (net) in savings.

Thrugelmir

Both pots. Borrowing money at short notice is very expensive.