📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Thinking of paying mortgage off next month

Options
Gam2015
Gam2015 Posts: 162 Forumite
Ninth Anniversary 10 Posts Name Dropper Combo Breaker
edited 6 April at 9:37AM in Mortgage-free wannabe
Hi all i currently owe around 46K on my mortgage at 5.2% already paid my 10% penalty free lump sum for this year my early repayment penalty drops to 1% on the 3rd of May i have max holdings in premium bonds at 50k on average this year so far i have won £97 per month so thinking of just cashing them in next month and settling my mortgage in full what are peoples thoughts? Then once i am mortgage free i can save £500 per month and rebuild savings for emergency fund etc. 

Comments

  • AgathaSquirrel
    AgathaSquirrel Posts: 268 Forumite
    Fourth Anniversary 100 Posts Photogenic Name Dropper
    Sounds like a good plan to me. Do you have other emergency savings?
    2017 - mortgage of £140,000 and interest rate of £10 a day
    Feb 2021 mortgage of £103000
    May 2021 mortgage of £100000
    July 2021 mortgage of £97000
    November 2021 mortgage of £93000
    July 2022 mortgage of £84000
    December 2022 mortgage of £79000
    December 2023 mortgage of £73000
    March 2024 mortgage of £70000
    May 2024 mortgage of £68000
    October 2024 mortgage of £65000
    February 2025 mortgage of £63000
    March 2025 mortgage of £45000 and interest of £6.07 per day
  • Gam2015
    Gam2015 Posts: 162 Forumite
    Ninth Anniversary 10 Posts Name Dropper Combo Breaker
    Sounds like a good plan to me. Do you have other emergency savings?
    Yes i would have about 20k spare after settling the mortgage
  • South_coast
    South_coast Posts: 5,884 Forumite
    Fifth Anniversary 1,000 Posts Name Dropper Photogenic
    Go for it. There's no feeling like it 😀
    Mortgage start: £65,495 (March 2016)
    Cleared 🧚‍♀️🧚‍♀️🧚‍♀️!!! In 5 years, 1 month and 29 days
    Total amount repaid: £72,307.03. £1.10 repaid for every £1.00 borrowed

    Finally earning interest instead of paying it!!!
  • beanielou
    beanielou Posts: 95,599 Ambassador
    Part of the Furniture 10,000 Posts Academoney Grad Mortgage-free Glee!
    I concur with your thoughts on this. 
    I am a Forum Ambassador and I support the Forum Team on Mortgage Free Wannabe & Local Money Saving Scotland & Disability Money Matters. If you need any help on those boards, do let me know.Please note that Ambassadors are not moderators. Any post you spot in breach of the Forum Rules should be reported via the report button , or by emailing forumteam@moneysavingexpert.com. All views are my own & not the official line of Money Saving Expert.

    Lou~ Debt free Wanabe No 55 DF 03/14.**Credit card debt free 30/06/10~** MFW. Finally mortgage free O2/ 2021****
    "A large income is the best recipe for happiness I ever heard of" Jane Austen in Mansfield Park.

    ***Fall down seven times,stand up eight*** ~~Japanese proverb.
    ***Keep plodding*** Out of debt, out of danger. ***Be the difference.***
    One debt remaining. Home improvement loan.
  • ladybird1106
    ladybird1106 Posts: 805 Forumite
    500 Posts Photogenic First Anniversary Name Dropper
    We paid our mortgage this year with a lump sum and the feeling of relief is amazing. Go for it if you think it’s the right thing for you.
    love 🐞

    Grow your own: £14.66
  • powerspowers
    powerspowers Posts: 1,337 Forumite
    1,000 Posts Fourth Anniversary Name Dropper
    Brilliant! Go for it 
    MFW 2021 #76 £5,145
    MFW 2022 #27 £5,300 
    MFW 2023 #27 £2,000
    MFW 2024 #27 £6,055
    MFW 2025 #27 £2,350 /£5,000


Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351.2K Banking & Borrowing
  • 253.2K Reduce Debt & Boost Income
  • 453.7K Spending & Discounts
  • 244.2K Work, Benefits & Business
  • 599.2K Mortgages, Homes & Bills
  • 177K Life & Family
  • 257.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.