Booking myself in for an independent future

beanielou

So that is an excellent result ��

BookmobileBadGirl

it it has been almost a year since I have posted on this diary. I decided to move my focus away from overpaying my mortgage to building up my running away fund and paying off my student loan.

I know you will all say that I shouldn’t have paid off my student loan but I am so happy I have done it, not only is there an extra £265 a month for me but I feel so relieved to know it is not there anymore. I started university in 2005, my loan amount when I started repaying in 2011 was £16,000 (ish) . Earlier this week I phoned and paid the settlement amount of just under £2,000.

I have saved up the £18,000 that I wanted to, this is six months take home but if I lost my job this could sustain me for a year. I feel happy knowing it is there. It is in my Marcus account where the rate just keeps dropping.

I have still been overpaying my mortgage each month but only by £102, I just did a little tidy yesterday to take it down to a round £60,000. Not where I wanted to be but I chose my priorities. I have decided that I am going to stop the monthly overpayments and instead save them up so I can make the full 10% overpayment each year. I took my mortgage out just as I turned 30, and my calculations I will have made it off just before my 38th birthday. Not bad considering they made me take out a 35 year mortgage.

BookmobileBadGirl

The end of my mortgage year is the 31st January, so I have started making my overpayments. I do not want to reduce my monthly payment so can only overpay £744 in one go. Overpaid £700 yesterday and £700 today, will keep going until I have paid £5400.

Mortgage currently down to £57,367

BookmobileBadGirl

Also decided that l prefer making monthly overpayments so will go back to that in February. If things go to plan (and I am not made redundant) then when my fix ends January 2022 my mortgage should be down to £46,200. Which would put me almost £4,000 ahead of my own target.

BookmobileBadGirl

another £700 paid off

BookmobileBadGirl

Another £700, I am really enjoying paying off all this money and watching the total go down

BookmobileBadGirl

Did £700 yesterday and £700 today. 

Frustratingly due to the bank holiday and the weekend none of the last three payments have come off the balance yet (though their interest payments are still going on the balance) but hopefully when I log in tomorrow to make the final £700 the total will be up to date

BookmobileBadGirl

Final overpayment done £500.

will check with Barclays tomorrow if I can overpay anymore but think it will only be a couple of pounds. Then just wait until February when I can start making overpayments again

BookmobileBadGirl

Double checked with Barclays, as long as I do not overpay more than 3x my monthly payment I can basically overpay as much as I want without incurring a fee.

so overpaid another £700 today and will do another £700 tomorrow. This has made me adjust the spreadsheet for the next few years as I can overpay more than I had expected.

BookmobileBadGirl

I overpaid £600 today, I think that will be my last overpayment of this mortgage year (starts again on the 1st Feb) I am waiting for refunds for ballet and opera tickets but suspect that won’t be back in my account until Feb.

I am really pleased with my progress, my aim was to be under 50k by November but hopefully should do that by April.

however I am applying for a job that is a step down both in terms of staff managed but also in pay. It would be about £8k less a year so my future overpayment plans may be delayed. I need to get out of my job and it looks unlikely my grade will be part of a VR scheme.