Mortgage Statement

Coupon_Queen_3

Can anyone help me understand my mortgage statement. Im paying a fixed rate 5% capital & interest repayment mortgage but on the statement I have received the interest paid amount fluctuates although my monthly payment stays the same each month. Can anyone help explain this please?

TwelfthMan

Coupon_Queen wrote: »

Can anyone help me understand my mortgage statement. Im paying a fixed rate 5% capital & interest repayment mortgage but on the statement I have received the interest paid amount fluctuates although my monthly payment stays the same each month. Can anyone help explain this please?

The amount of interest paid should be coming down a tiny amount each month. This reflects the fact that on your C&I mortgage, you are paying off an amount from the capital with each monthly payment and therefore the balance decreases. Because the balance is decreasing, there is less interest to pay.

Coupon_Queen_3

Thanks for your reply but the figure not coming down, it fluctuates up & down each month?

maninthestreet

Daily interest perhaps, with some months having 30 days, others having 31?

Coupon_Queen_3

I dont think it can be that because the amount of interest paid fluctuates so much, it can be say £500 interest charge one month then £460 the next, then £470? although my fixed payment stays the same each month.

homer_j_3

who is your lender? Have you called them to ask?

Trying_to_be_good

If you're looking at a statement that includes February, that will be a 29 day month, so you'll see December highest, January a bit lower, February a lot lower, March a bit lower than January but higher than February.

Coupon_Queen_3

Thanks for all of your replies, it does include Feb but Dec is much higher than Jan or Feb? Think I will phone my mortgage company & see what they say, just wanted to make sure there wasnt anything really obvious that I was missing. Thanks

sammyjammy

Why don't you just post the actual figures on here so we can have a look.