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Which account should I overpay?
Comments
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If you can throw £500pm it will get paid off quicker, and over time your contractual min payment will go down after starting at £200.
No reason to go repayment on all unless you start hitting ERC with the overpayment.0 -
Another option is to look at what deals you can get on part of mortgage keeping the features on the other bit(if BMR. Getting overpayment back)
There is probably a deal less than 2.25% on 2/5y.
The saving will be small but still a saving.0 -
No ERC to worry about (I'm on BMR), so I'll stick with the (ever decreasing) low contractual min payment and be disciplined to review my standing order overpayment on a regular basis to stay at the £500 level.No reason to go repayment on all unless you start hitting ERC with the overpayment.
I'll have a look at this once I've paid the lump sums next month and things have settled down. Like you say, the savings are probably small - especially after setup fees/ surveys - and I'm then also increasing my obligations. But definitely worth a look around once I'm in better shape as a fixed rate could also give piece of mind :beer:Another option is to look at what deals you can get on part of mortgage keeping the features on the other bit(if BMR. Getting overpayment back)
There is probably a deal less than 2.25% on 2/5y.0 -
move repayment bit(£23,972) to a 5y fix @ 2.09% over 5y
£23,972 @ 2.25% £422.80pm interest £1396
£23,972 @ 2.09% £421.12pm interest £1295
that's within your £500 total payment(just when you add the £73)0 -
Thanks again. Who's that with please? Nationwide do it with no fees, and it shows a potential saving of about £100 as you have kindly illustrated, but they show the APRC @ 2.8% for some reason!?move repayment bit(£23,972) to a 5y fix @ 2.09% over 5y0 -
nationwide no fee retention product with £100 cashback
http://www.nationwide.co.uk/products/mortgages/existing-customer-switching/mortgage-rates
ignore APRC they are meaningless for most mortgages.0
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