~Make £10 a day Challenge January 2016~ Brand New Year,New Start, Everyone welcome

fairyclicks

Oh quick question for you number bunnies cos i can't get my head round this today. My mortgage has interest added daily and now i am making daily payments off it that will reduce the interest. But am i right in thinking it will reduce interest every month or is it just for first month? I have it in my head i would be paying it early every month so i must be saving interest each time but then maybe it catches up with itself???

**insert head exploding smilie** :rotfl::rotfl:

Aesop

fairyclicks wrote: »

Oh quick question for you number bunnies cos i can't get my head round this today. My mortgage has interest added daily and now i am making daily payments off it that will reduce the interest. But am i right in thinking it will reduce interest every month or is it just for first month? I have it in my head i would be paying it early every month so i must be saving interest each time but then maybe it catches up with itself???

**insert head exploding smilie** :rotfl::rotfl:

I maybe wrong and will wait for lexbubbles and some of the other smart maths people to come along and say different but I believe by paying daily, you are reducing your mortgage. By reducing your mortgage, you are reducing how much is owed, so the interest does get lower only by pennies I think. But by reducing your mortgage, you are reducing what you owe, that means you owe less money, therefore less interest.

lexbubbles

Aesop wrote: »

I maybe wrong and will wait for lexbubbles and some of the other smart maths people to come along and say different but I believe by paying daily, you are reducing your mortgage. By reducing your mortgage, you are reducing how much is owed, so the interest does get lower only by pennies I think. But by reducing your mortgage, you are reducing what you owe, that means you owe less money, therefore less interest.

This. It will only 'catch up with itself' if you stop making payments and thus increase your mortgage again. As long as the mortgage is reducing (ie you're making payments above the interest amount), then the interest is reducing as well.

Surfchik80

fairyclicks wrote: »

Oh quick question for you number bunnies cos i can't get my head round this today. My mortgage has interest added daily and now i am making daily payments off it that will reduce the interest.

I may be wrong, but I'm fairly certain that if you have a mortgage that adds the interest daily, then you will be saving interest daily, each and every time you pay a bit off. Obviously, if the mortgage provider accounts for the interest on a monthly basis instead, then any interest you save would be calculated monthly too. i.e., in the latter case it could be more profitable to dump the cash in a high interest savings account and take it out to pay at the end of the month so that you gain a bit of savings interest and ALSO save mortgage interest at the same time.

Jeez, I hope that make more send than it reads!!!! :rotfl:

lexbubbles

The plan was to use money I made from this in my "rallycross" fund but this month I've been using it to clear money off the CCs that I accumulated over Xmas again (mostly on tea, not going to lie to you)

I have set up a weekly DD to myself to beef up that fund, though, and will return to putting profits in it sometime next month (pretty much clear now). Fund currently stands at £224

lexbubbles

£3.75 from Twinings just cleared on TCB. Sometimes my tea habit pays off :rotfl:

Surfchik80

Not a bad 48hrs here. £3 pinecone, £33.65 for breast pump, £4.32 for a frock I will never ever fit into again post children (who knew they can expand your rib cage permanently!?!?) and £19.16 for a playmat.

New total £146.24 - which is definitely a bit more respectable

...and opportunity to sell breastmilk officially off the table :rotfl:

Siouxsie32

Good afternoon everyone

Interesting morning here -decided to go out and get my 10000 steps in early so off I trotted before breakfast and no sooner had I walked out the door, but a lorry drove through a puddle and left me soaked head to toe a la Bridget Jones :eek::rotfl:

I turned around to head back indoors, but since it was raining, I decided to carry on cos I was going to get wet anyway. So, 12000 steps for the day done and I'm home and showered, drinking green tea wondering where I can get decent lentil soup to feed my craving (normally I crave chocolate so lentil soup has to be a step in the right direction, right?)

Downloaded the bounts app and collected 700 bonus points and today I ticked off two of the three activities so I'm on my way to a free voucher! And getting fitter

Sorry you didn't see the :money: bonus code KM. Still, you did a good thing by using the referral boards, and someone will use yours in return. Once your Fitbit is up an running you'll be walking a lot more so you'll soon find the bounts points add up!

Today's money update is £15.24 from Quidco. Still lagging behind, but still making money and spending less so it's all going in the right direction! Let's see what I can pull out of the bag in the last few days....

Stay warm and dry everyone

Kantankrus_Mare

Well fitbit has arrrived and Ive managed to do the basic set up.

Tried to link it with bounts but not sure if they are having problems.

Wont connect on my phone and laptop says page not available.

Hmm will try again later.

Dog needs to go for a walk so will get my first steps in.:D:D

Siouxsie32

Oh, and I nearly forgot...my 5p magnetism continues as I found another one on my walk :j