FinancialBliss: My mortgage free journey…

financialbliss

Bad news. The mortgage payments have cleared, but they're wrong :eek::eek::eek:

From current account, I can see two payments were taken, both on 1st May:

• To mortgage ac/ 6xxxxxxxxx4 value of 929.33
• Standing order Mortgage - value of 500.00

ie a total of £1429.33.

But the mortgage account shows a credit for May of £1,929.33, ie I presume an additional overpayment of £500. :eek:

Guess I'm going to need to speak to Nationwide regarding this. Doesn't look like the additional funds have come from me, but I don't want to be charged for breached our allowed £500 overpayment either.

Anyone else with a Nationwide mortgage spot anything amiss?

FB.

taka

Hi FB

It looks like mine is the same - it has decreased by £200 for May (on top of my min payment) instead of my normal £100! I've only had £100 taken out of my curr acc (by standing order). Its very odd!

I think it is just my week for this sort of thing! One of my accounts with another bank is £££s out too! (not the same amount ) I spent 40 mins trying to get that sorted on Tues morning in branch but it has to be referred somewhere else to be dealt with... Gahhhhh!

financialbliss

taka wrote: »

Hi FB

It looks like mine is the same - it has decreased by £200 for May (on top of my min payment) instead of my normal £100! I've only had £100 taken out of my curr acc (by standing order). Its very odd!

Hi taka,
What really annoys me is the fact that it gets notched down as a COMPUTER error. Nope, actually it will be a software developer error - any computer software of a reasonable size will have a certain number of bugs in it.

As you may have guessed, I've just spoke to the Nationwide mortgage team. Needless to say, there's an "issue" in that it's taking the correct amount from the payment account but doubling up the payment when it gets to the mortgage account.

I don't see that as an issue - I'd get my mortgage paid in double quick time :rotfl:

Their response is that they're looking into the matter and I won't get charged if I'm in breach of any fixed mortgage T&Cs.

What I'll do later is update graphs and signature based on the correct mortgage interest for this month, but ignoring the extra £500 overpayment.

FB.

taka

Thanks for that FB

What a strange error. I wonder if it was a wishful MFW who programmed that bit! :rotfl: Oh well I'll just enjoy paying £100's worth of lower interest payments till they fix it! Mind you I'd love it to happen every month - A lovely sort of overpayment incentive! :rotfl:

I think I'll do my spreadsheets as per my expected OP/interest too. :cool:

financialbliss

Ok. Update as promised, due to mortgage payments clearing. First the numbers:

Opening Balance: 48,499.96
Opening Nationwide completion date: December 2014

Overpayments in Blue.
Interest in Red.
Balance in Green.

Month: Payment (Std / OP) / Interest (day) / Net reduction / Balance / Nationwide completion

January: 1,398.03 (898.03 / 500.00) / 191.83 (6.19) / 1,206.20 / 47,293.76 / Oct 2014
February: 1,429.33 (929.33 / 500.00) / 168.71 (6.03) / 1,260.62 / 46,033.14 / Sep 2014
March: 1,429.33 (929.33 / 500.00) / 181.65 (5.86) / 1,247.68 / 44,785.46 / Sep 2014
April: 1,429.33 (929.33 / 500.00) / 170.88 (5.70) / 1,258.44 / 43,527.01 / Aug 2014
May: 1,429.33 (929.33 / 500.00) / 27.53 (5.51) / 1,401.80 / 42,125.21 / Aug 2014

Totals: Payment / Interest / Net reduction.

Minimum: 1,398.03 / 27.53 / 1,206.20
Maximum: 1,429.33 / 191.83 / 1,401.80
Average: 1,423.07 / 148.12 / 1,274.95
Grand Total: 7,115.35 / 740.60 / 6,374.75

Balance outstanding: 42,125.21


Noticed that the Nationwide mortgage account has updated itself to show completing in August 2014. After today's payment clearing, I've calculated that we will (currently) complete the mortgage in December 2013 - just breaking into December 2013 rather than January 2014 which I'd calculated last month.

I've updated:

• Signature to reflect latest balance
• The numbers on post #1
• The 3 charts on post #1
• The "Last 100 steps" chart - now completed 12 steps

I've probably updated something else too, but I'm starting to loose track of things. Need a spreadsheet / list to update holding the list of items to update... :rotfl:

FB.

PS Balance today shows as 55% of mortgage being paid - see link in signature - last 100 steps.

financialbliss

Mortgage account still showing an extra £500 today - not that I mind. I estimate it's saving me almost 7p per day in mortgage interest while the additional £500 is there.

Hope it takes them a while to resolve it!

FB.

taka

Yep, my extra £100 is still there too. :cool: Not sure what it is saving me - my daily interest has dropped 6p since early April but I'm not sure how much of that is due to the mysterious extra £100.

Looks like I have another £150 ish to OP this month after tweeking my budgets - I'm tempted to set up another SO to see if it happens again! :rotfl:

financialbliss

Mortgage. The overpayment of £500 that magically appeared in our mortgage account the other day has now equally magically disappeared.

May shows total credits of £1,429.33 and the interest is £751.91. Don't know exactly what that's done to the daily interest, but the extra £500 for a few days may have pushed the interest down a little.

Had always suspected that it wouldn't take Nationwide long to adjust it - not sure how long it would have been had I not informed them, but I feel better for informing them!

FB.

Queen-Bee_2

Hi FB - wish I had your numerical acumen with the spreadsheets!

Just been looking at your last 100 steps table - I think I'm on the same Nationwide product as you, but although I'm doing quite well, wouldn't know where to begin to try and quantify what's left in this level of detail (mainly 'cos of the interest I clock up on a daily basis, whilst continuing to reduce on a monthly basis)...

Anyway, well done!
QB

financialbliss

BoE rate setting committee kept the base rate at 0.5% today:

BBC : http://newsvote.bbc.co.uk/1/hi/business/10104900.stm
TiM : http://www.thisismoney.co.uk/news/article.html?in_article_id=504197&in_page_id=2&ct=5

Anyone know why this was published today instead of the first Thursday of the month? Due to election?

Guess that if you're on a tracker or not in a fixed product, that could be good news.

We're fixed until March 2011 at 4.79% which is just a further 10 payments. Will be taking stock in December / January as to where we go from there, but due to the overpayment reserve put towards the mortgage, could well end up staying with Nationwide. Their base mortgage rate (BMR) is currently 2.5%, but I suspect it will have gone up slightly by the time our fix ends.

FB.