Paying off mortgage

RainOnMe_2

long story short (kinda) - made redundant in December after 12 years with company.  Found a new job eventually in March.  Lost new job due to furlough guidelines.  Applied for 100s jobs and getting rejection after rejection.  It's been a tough ol' time.  Family are offering to pay off my mortgage for which I have got a redemption figure.  I have 7 years 3 month years left at interest 2.29.  Are there better ways of doing this?  ie over paying?   I am no financial guru and wondered if anyone could offer any advise. I do not have any other debts etc.

ddonq1412

can you give more information

What is the fixed term you are currently on and how long is left on it?
What is the rough overal balance to be paid?
What is the ERC rate you might be hit with?

RainOnMe_2

Thank you for replying
Fixed term expires 31/05/2023.  I would have then re-mortgaged for another 5 years which would have had the mortgage paid off.
£45k
ERC - £1800.00

[Deleted User]

Yes Im sure there are better options to avoid paying the early repayment charge just now ..... but .... if its truly a gift, then I would take the gift now and know my house was paid off, as minds could change, financial situations change etc 

RainOnMe_2

Densol said:

Yes Im sure there are better options to avoid paying the early repayment charge just now ..... but .... if its truly a gift, then I would take the gift now and know my house was paid off, as minds could change, financial situations change etc 

It is truly a gift and it's been very emotional and that's why I need to know if there is a better way of paying it off rather than just getting a redemption figure and paying. My family have been a rock to me throughout this lockdown.  

dimbo61

If you have £45,000 sat in the bank your not entitled to receive benefits !
So if family are felling generous maybe help paying the mortgage each month and a small cash gift each month to help cover the bills.
If you can overpay the 10% most lenders allow while on a fixed rate mortgage.
Any savings over £16,000 would reduce/stop you getting benefits.
If you have worked for last 12 years your entitled to income related ESA

RainOnMe_2

Thanks - I DO NOT have £45k in my account.  I have worked for 37 years and certainly would not be claiming any benefits if I did :-)