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TSB Query
marell
Posts: 1 Newbie
Mortgage is 2.5% repayment and interest is calculated daily.
Is it better to overpay monthly or in a lump sum at the beginning of the year? Which would take more off the mortgage?
Thanks
Is it better to overpay monthly or in a lump sum at the beginning of the year? Which would take more off the mortgage?
Thanks
0
Comments
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Interest is calculated daily, so the sooner you pay it off the sooner interest stops being charged.
If you have the money sat there and intend to use it to pay down your mortgage then (subject to how much you can overpay without incurring charges) its usually better to pay it off immediately.I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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