Overpaying mortgage

DiggerUK

NottinghamKnight said:

DiggerUK said:

Scrabbling about for a penny or two advantage between overpaying mortgage and saving to stooze is a fools errand. At the end of the day it's a debt you have to pay off come what may. 

I'm firmly in the don't fanny about clear the mortgage school..._

You should spend more time on the debt boards....

The debt boards show there are indeed many who have difficulty managing finances and can become overwhelmed. I don't believe the OP needs much encouragement to do what is appropriate for their long term security and stability..._

@Cam93
To illustrate why I believe stoozing the mortgage is a fools errand look at the average uk mortgage rates, between 1.5% and 2.5% and then look at interest rates in the uk no longer getting 1%. At best you can obtain a 0.5%  disadvantage with savings over mortgage, that strategy won't keep you off the debt boards..._

grumiofoundation

DiggerUK said:

NottinghamKnight said:

DiggerUK said:

Scrabbling about for a penny or two advantage between overpaying mortgage and saving to stooze is a fools errand. At the end of the day it's a debt you have to pay off come what may. 

I'm firmly in the don't fanny about clear the mortgage school..._

You should spend more time on the debt boards....

The debt boards show there are indeed many who have difficulty managing finances and can become overwhelmed. I don't believe the OP needs much encouragement to do what is appropriate for their long term security and stability..._

@Cam93
To illustrate why I believe stoozing the mortgage is a fools errand look at the average uk mortgage rates, between 1.5% and 2.5% and then look at interest rates in the uk no longer getting 1%. At best you can obtain a 0.5%  disadvantage with savings over mortgage, that strategy won't keep you off the debt boards..._

The question was assuming the interest on the mortgage and in interest are the same. 

anguy2020

Hi
Sorry if its been asked before or everybody might know it already.
Could I please ask if we have fixed 5 year repayment mortgage ( paying a fixed amount covering the interest and principal every month), would doing overpayment ( as we are allowed 10% overpayment of remaining mortgage balance) reduce the monthly payments as normally its a fixed amount for 5 years and still another just over 2 years still remains on that.
Thank you

JustAnotherSaver

Asked similar recently, although not from the angle of lowering LTV. Response seemed to be invest for the long term beats both at the rates we're talking. 

Though on the topic of LTVs, do all lenders have the same LTV brackets?

I've only ever been with nationwide. Looks like we fixed in at a bad time as we thought 2.1x% was about as low as it'd go. I'm not sure how near I am with the next bracket actually.
Took out 102 on a 157 house. Currently in year 7 or 8 (7 I think it is, without checking) and the mortgage is at 88-89k.