2019 Mortgage-Free Wannabes

Sweepbradley

Hi. I have just maee an overpayment of £1800. I think my number is 110 sweep bradley. Thank you!! X

bit_by_bit

#164 reporting an overpayment today of £274.57 which now brings my total to £324.57/£3200.

The odd number is so I can round down my mortgage which now stands at £27,100 (with my regular payment). Can't wait 'til next month when I go below the £27,000 mark :T

[Deleted User]

f0xh0les wrote: »

Waaaaaah!! That must be so exciting:j I'd be doing star jumps around the living room. Congratulations!

Thank you so much f0xh0les, I still can’t quite believe how close we are :rotfl: It’s really motivated me to throw everything at it now. I have OP’d a few more quid this week but won’t report it on here until 1st Feb as don’t want to give the lovely Juliecorn extra work!

Pursey

Please can I join? I am trying to overpay as much as possible this year, so aim aiming for £6000 overpayment.

Pursey

Should say, I’ve overpaid 415/6000 so far

ElmoR

Number 125 reporting additional £650 O/P on last day of January!


Thank you for keeping us all on track and motivated:j

CTricky80

Hi there #158 with an overall OP of £616.43 for January :j

CTricky80

So I have what I think is a silly question but curious about the answer and know that one of you guys will know....

I've started keeping track of my mortgage amount each month rather than ignoring it and so once my payment for this month had gone through I went online to see the new figure - to keep me motivated etc. Anyway I noticed that it had gone down by my full payment and they hadn't taken any interest. I phoned them up and the very helpful guy said that it is because they take the interest out on the last day of each month no matter when you pay.

My question is - if they do this doesn't it mean that I pay less interest as they are calculating it on a lower amount for the month?

I think that on some mortgages interest is calculated daily and on others it is monthly, but either way if you overpay does that mean that we get charged less interest overall each month?

I can't believe that this would work in our favour like this and the banks must have a way of making this not so but can't work it out.

My mortgage is with TSB and couldn't be bothered to ring again to find out whether interest is calculated daily or monthly. Does anyone else find TSBs lack of internet banking annoying - have to ring up and do a card payment over the phone to OP!

YouWithTheSadEyes

#122

Extra £45 paid to make a total of £65 paid in January

pinknsparkly

CTricky80 wrote: »

My question is - if they do this doesn't it mean that I pay less interest as they are calculating it on a lower amount for the month?

I think that on some mortgages interest is calculated daily and on others it is monthly, but either way if you overpay does that mean that we get charged less interest overall each month?

Hi CTricky,

Yes that's exactly the case (assuming the mortgage provider charges interest daily). In fact, the Halifax mortgage adviser who set our mortgage up for us actually recommended that we set our DD up to be paid on the 1st of each month, if possible, as it would minimise the interest we paid. In the case of mortgages that charge interest monthly, you'd need your DD to be set up for before whichever date in the month they used to work out the interest owed. And likewise, the earlier in the month you can make your OPs, the more you save in interest.