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Advice on options please!
iwantoutnow
Posts: 3 Newbie
Hi
Im after a bit of advice from anyone who is better at maths than me…which could be just about anyone!
I have a mortgage of £109208 @ 3.39% fixed until January 2018, which allows me to overpay by £500 each month without being penalised, which I am doing.
I have £6000(which could be raised to £10,000) in a savers account which is only earning about 1.18%, if I want to pay this into the mortgage I would be charged 5% - £300.
Is it worth me doing this or should I wait until my fix is up and save the money somewhere and if so where do you suggest?
I hope that all makes sense, thanks!
As a side note how on earth is an ERC legal!?
Im after a bit of advice from anyone who is better at maths than me…which could be just about anyone!
I have a mortgage of £109208 @ 3.39% fixed until January 2018, which allows me to overpay by £500 each month without being penalised, which I am doing.
I have £6000(which could be raised to £10,000) in a savers account which is only earning about 1.18%, if I want to pay this into the mortgage I would be charged 5% - £300.
Is it worth me doing this or should I wait until my fix is up and save the money somewhere and if so where do you suggest?
I hope that all makes sense, thanks!
As a side note how on earth is an ERC legal!?
0
Comments
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Drop £6K in Premium Bonds and keep over paying £500 a month until the fixed rate is up. If you get 3 small wins in 12 months then you will of achieved your 1.18%...you may get a bigger win.
ERC is stated in the contract you signed, so quite legal."Dream World" by The B Sharps....describes a lot of the posts in the Loans and Mortgage sections !!!0 -
You could easily earn 5% on your savings - check out the guide on this site0
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