Shoukd I shorten the mortgage length?

Tambocat

I’m new to this and have realised that the money I’ve put in ISAs would be better used to pay off some of the mortgage. I have £32,000 in total and a mortgage of £91,000 and I have checked I can make overpayments so I could reduce my mortgage to £59,000. I then realised that I could overpay monthly instead of saving to an ISA.

A friend suggested that I get a mortgage with a shorter length but I can’t see the point because if I am overpaying then my current mortgage will be paid off sooner anyway won’t it?

getmore4less

What rate is your mortgage, LTV and full term.

Shorter term just increases your contractual payment if you can overpay without penalty the result is the same with the option to stop overpaying.

dimbo61

Why not do both !
A mortgage is a marathon usually over 25 years but if you can overpay every month you can reduce this too 20 or 15 years.
ISA,s are a good way of building up long term savings in either cash or stocks and shares.
If your in a fixed rate mortgage deal you may have limits on how much you can overpay and it is always wise to have 6/12 months of income in savings you can access in emergencies.
Check your mortgage rate and savings rate and see how much you can overpay