2008 MFW newbies

REDMADCURLS

Hi

Having spent the last few days reading this thread and then checking the mortgage calculator I was SHOCKED at how much I could save (or rather prevent paying the Halifax) by overpaying.

So today I set up SO for £50 a month - our mortgage is £161k x 23years - couldnt believe this would save £13,700 and knock 2 years off our mortgage!!

Now the stupid part - saving this money and paying off lumps doesnt seem to have the same impact - duh think I have just answers my own question (really is £50 x 12 months x 21years that is coming off not just £600)

Ok now I have worked that out (sorry for being so silly) Do you folks sometimes pay more than your monthly SO or just stick to that - thinking a 'mortgage pig' could yield an extra £100 or so every so often

Sorry for rambling!

RMC

tootallulah

Hello RMC (me too, red hair that is). I do a combination of the two things I have upped my standing order and whenever I have money left at the end of the month I pay that off too. I have an offset mortgage so I can pay off as much as I like. Some mortgages don't allow unlimited overpayments - others on here will be able to give you more detailed advice. The "every little helps" mantra is true and over the year it really makes a difference. I have cut my term by four years by increasing my standing order by £100. Seeing the monthly interest go down is very satisfying.

Good luck and welcome.

newmoneysaver_2

I am currently overpaying by £100 and kocking 4.5 yrs of the term of the mortgage - That is ifI can continue as we needs to remortgage in April and we are not going to get anywhere near the 4.65% we are currently paying - this is going to effect the amount we can overpay.

elantan

these calculators are great arnt they ..ive just been playing with the figures again and would like to pay £250 off a month that would save me 8 years meaning my mortgage could be paid off in 10 years instead of 18 ...and i would save myself £15,345.55 which is quite impressive ...now i am trying to save the money into my isa this is important to me i will need extra savings if i am to retire at the same time as my hubby (he is 5 years older than me) but i really want to have it paid off in the 10 years if i can ...so now i need to squeeze the budget tighter to find £250 this is gonna be a challenge and a half this one ...any advice anyone?

moneysavingwannabe

Hi,

I'd really like to join you all too.

I have a slight barrier in that I still have to pay off building work debts and have a wedding to pay for....but we have been rounding our payments from £411 to £500 a month.

Last year we were paying £200 extra a month sp hope to start paying off more when we can!

Overthetop

Hi Im really pleased to report that all is going well with my monthly over payments on my mortgage…But did you know to make a lump sum payment off a NatWest Off set mortgage takes more than one phone call

EG my first lump sum payment took three phone calls- I phoned and agreed to make a lump sum payment, was told this could take up to five days, I phoned again after five days and asked why it had not yet been taken out of my account was told sorry it will be done today, I phoned three days later and asked why it was not done and complained and it was done that day.

My second lump sum payment took two phone calls, the first phone call it went from my bank account but was never received into my offset account, the second phone call they did manage to credit it to my off set account.

I mention this today as I have just phoned Natwest to make a lump sum overpayment, I cringe at the thought now especially as it’s a 5p a minute call cost plus VAT.

Natwest Offset have told me there is no other way that I can make a one off lump sum payment other than through their switch board, thank goodness I have my regular overpayments set up via monthly direct debit.

Happy Friday to all

wheelies_3

Not been on here for a while and just caught up with my reading.

Everyone is doing really well. Welcome to all the newcomers.

April looks like the second month I won't be overpaying, hoping to start again in May.

Bellsbells I will pm you at the end of the month to confirm for April.
Keep up the good work everybody :beer:

zavarony

Hi All,
just been away and am catching up on the thread - everyone is doing a great job - I feel so much more in control now than I did 2 months ago...

I have made £300 overpayment so far for April - yippee. horay and yay to me!!

Keep up the good work everyone.
Zav

zavarony

ps.....
Elantan - where would I fnd a mortgage calculator please so I can see the difference my overpayments are making...

Thanks

newmoneysaver_2

This is the one I use!