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Frequency of payment

Recently moved house. On a fixed term with monthly payments. Plan to over pay each month on a regular basis. Not massively so but some. 
Trying to work out or find calculator that finds out if better to pay monthly or biweekly as seen on the internet thingy.  

Comments

  • DullGreyGuy
    DullGreyGuy Posts: 18,613 Forumite
    10,000 Posts Second Anniversary Name Dropper
    The sooner you pay the more interest you save, just need to be aware of any limits on number of transactions allowed etc
  • ACG
    ACG Posts: 24,893 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Most mortgages charge interest daily. 
    If you pay your mortgage as normal on the 1st of the month, it would be cheaper than if you paid it on the 2nd, which would be cheaper than if you paid it on the third and so on. 

    So if you plan on overpaying, assuming your mortgage allows it - overpay as soon as you can. Although it might also be worth checking if you can get any savings accounts at higher rates than your mortgage. My mortgage is 2.5%, I opened an ISA last week at 4%. 
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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