Unlimited overpayments

Suffolk_lass

A number of your Mortgage Free Wannabees also have fixed rate mortgages that will charge you if you overpay more than 10% per year. Some of them use an alternative approach while their mortgage deal has the penalties -

Savings accounts that are attached to current accounts (e.g. the Nationwide (for one year) pays 5% on £2000 and if you are a couple you can have one each and a joint) with a bit of shuffling -

A sort of off-set without it being in one account. There are others (Santander, TSB) and another group that pay you a switching bonus - all options to build a bit of a lump to pay off when you switch or drop out of the penalty period for your current deal

moneysavinggirl40

Tesco mortgages allow 20% overpayment per year on outstanding amount.

mmmsnow

Unicorn_cottage wrote: »

Sounds like First Direct offer unlimited overpayments on fixed rate mortgages...not sure how good the rates are though...

Hi Unicorn cottage,

I've been with First Direct for 10 years. I've found their rates very competitive and I've taken advantage of their "no set up/booking fees" offers several times (after checking the total cost of the loan, of course). I've been overpaying as much as I can afford and so have benefited from their unlimited over payments policy. Their customer service is exceptional as well.

There's also a regular saver (£300 per month max) you can apply for if you have a mortgage and current account with them which is also very good. The only downside to FD is the no frills website. I am with FD and HSBC and, by far, they have the worst apps/account management website (excepting TSB). I like being able to log in with my fingerprint!

I'm currently on a five year fix (started Aug 2018) and my rate is 1.89%. Of course, rate depends on LTV.

Don't worry about holier-than-thou trolls on here. I asked a straight forward employment question a while ago and got a sad old man patronising me and not actually answering the question. Just ignore them.

Unicorn_cottage

Thank you all for your invaluable input. Sadly the trolls like to have a go but I think Martin Lewis set this forum up for people to ask questions without judgement therefore I will carry on

mmmsnow - Having looked into First Direct I am looking to change my current account to them in the next year. My LTV is pretty healthy so fingers crossed I get a qood offer

mmmsnow

Unicorn_cottage wrote: »

mmmsnow - Having looked into First Direct I am looking to change my current account to them in the next year. My LTV is pretty healthy so fingers crossed I get a qood offer

And hopefully you'll get £100 for switching to them, which can go straight in the mortgage if you are feeling responsible