Overpay with savings

Hi there,

I have been reading through some of the overpaying addict diaries out there and am glad its not just me who feels so determined to clear the mortgage. Its very encouraging.

I thought id share my current predicament to compare with people who have been in similar situations. Id like to hear your overpayment stories and how/if they have worked out well for you and if you used savings.

My original Mortgage was £206k. I took out a 4 year fixed term deal in 2014 at 3.24%.
I am fortunate enough to regularly overpay on average £1000 p/month. After nearly 3 years I have managed to knock it down to £142k. Am hoping to clear the mortgage by 2024 max.

I have and don't know why, have always been responsible with money and have managed to accumulate some life savings on the side. I know it makes sense financially to clear as much off the mortgage as possible within the parameters, but I'm so nervous about parting with my life savings. Has anyone done this? I would obviously keep some back for emergencies but its knowing how much to keep back is enough. Your thoughts and stories would be very welcome.

Many thanks


  • kevc1985kevc1985 Forumite
    68 Posts
    Fifth Anniversary 10 Posts Name Dropper Combo Breaker

    I am in a similar situation where I now have enough savings to clear my mortgage but would be left with very little savings if I did, although this will build each month it's the unforeseen emergency that I seem to think will happen when I don't have the money to use anymore.

    I plan on making either a big down payment or over pay extra each month, that way I am comfortable parting with some savings to help towards paying off the mortgage and still have access to savings should I need them.

    I would say that if your having some doubts it's best to keep some savings back, you can always take a little longer to pay your mortgage should you need to. Your responsibility with money clearly shows.

  • SystemSystem Forumite, Community Admin
    177.9K Posts
    10,000 Posts Photogenic Name Dropper
    Community Admin
    You could invest in funds through a stocks and shares ISA instead, it'll almost certainly outshine the mortgage and you still have some access.
    Just hold on through crashes and you'll do well
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