Mortgage overpayments...in the short term

Mortgagequeries_2

Thanks, very useful example, much appreciated

fewcloudy

Post #3 makes a good point in last 2 paragraphs.
I am on a low rate mortgage (so long as BR stays low), and have made overpayments for some time now. I am aware that mathematically it would be better for me to stop overpaying the mortgage and save that money instead.

The reasons I do what I do is that I like to see my mortgage balance reducing quicker, but also because I do not think I could ignore the fact that I had an amount of money (savings) available to spend when I see things I like or that I wish I had.
The amount I overpay has varied over last 5 years depending on my outgoings (kids Uni costs mainly) but at approx £200 a month it will be a good few thousand pounds now.

As I coax yet another year out of my old car, and make sensible and realistic choices re holiday destinations, I cannot hand on heart say I would make these same decisions if I had ready access to a large sum of money. So although it's been pointed out that whatever you decide to do the difference might not be huge, for us I think it might've been huge if we were tempted to dip into savings for other things.

fc