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  • FIRST POST
    • labradorlove
    • By labradorlove 21st Feb 18, 8:46 PM
    • 45Posts
    • 59Thanks
    labradorlove
    Journey to a mortgage free future
    • #1
    • 21st Feb 18, 8:46 PM
    Journey to a mortgage free future 21st Feb 18 at 8:46 PM
    After almost a year of reading peoples mortgage free diaries, I've finally decided to start my own! I'm not very good at sticking to things, especially diaries! but hopefully by starting this thread it will keep me on track of my own mortgage free journey

    Me and my fiance bought our first home together on the 2nd June 2017! It's just me, him and our furry child at the moment, who is laid at my feet while I post (the dog not my DF)

    We put down a 13,500 deposit on a 135,000 3 bed semi-detached house, not a lot of money, but we worked very hard and it got us on the property ladder with a good interest rate.

    Mortgage taken out 121,500 at 2.21% (fixed for 2 years) with Santander with a term of 27 years and 3 months

    I'd never considered over paying before my plan was to get on to the property ladder and that's that. But then while house hunting and reading all these diaries and journeys it just made sense to put our disposable income to some good use!! We don't drink a lot, neither of us smoke, neither of us have any debts apart from the mortgage we now have together, we love to save and there are no children on the scene yet! So what better time to start cutting that mortgage down?!

    I wanted to start overpaying straight away but they aren't lying when they say the first 6 months are the most expensive!

    So we managed to make our first over payment last month of 200, I was so excited ringing them up I couldn't wait for payday, such a good feeling knowing you're one step closer to paying it off, even if it's one out of a thousand steps!

    200 is the monthly target I am setting myself for this year, so anything I manage over is a bonus So far this month 100/200 has been paid. Waiting for DF payday to pay his half team work makes the dream work and all that.

    Looking forward to sharing my journey, and hearing about everyone elses

    Going now to get a nice early night before work and the gym tomorrow!

    Labradorlove x
    Last edited by labradorlove; 24-04-2018 at 8:30 AM. Reason: spelling grr
Page 2
    • GoingOn30
    • By GoingOn30 22nd Apr 18, 11:03 PM
    • 95 Posts
    • 65 Thanks
    GoingOn30
    350 on clothes for a holiday??! That would be my total spend on clothes for an entire year!
    Maybe you can sell some older clothes on ebay/fb to help recoup your losses?
    Keep up the saving, it will be so worth it in the end. Are you saving for a wedding too?
    • labradorlove
    • By labradorlove 23rd Apr 18, 10:30 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    350 on clothes for a holiday??! That would be my total spend on clothes for an entire year!
    Maybe you can sell some older clothes on ebay/fb to help recoup your losses?
    Keep up the saving, it will be so worth it in the end. Are you saving for a wedding too?
    Originally posted by GoingOn30

    I already had a clear out about 6 months ago, I'm not ready to depart with any more yet! I did win at bingo last weekend, a whole 265 so that went towards the cost of holiday clothes


    I am not saving for a wedding as we both just want it to be us two no fussing
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • labradorlove
    • By labradorlove 23rd Apr 18, 11:19 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    So, I have recently taken out an MBNA All-In-One money transfer card, to pay for a new garden. It's 0% interest over 30 months for 3,800. I didn't really want to but we've decided a new garden is a must. It's something we've spoke about since moving in and originally we were going to save and then have it done (the most sensible option). But since our furry pup joined the family and dug up half of it and turned it into a swamp, we've decided it needs to be done sooner if we want to enjoy the summer in our garden.


    NTS - Must remember to set up a direct debit as soon as the card arrives


    We are planning to pay back 200 a month over 20 months instead of the 30 we've been allowed, which is do-able with our disposable income. It will however make over payments on the mortgage that little bit more of a challenge, but it only motivates me more . Plus I'm looking at it as an investment too. Where we live now is not our forever home so I'm hoping it will increase our house value if we were to sell in the future.


    Putting mortgage overpayments on hold until I am back off of my holiday, then I can get my finances in order, hoping to have money left over from allocated holiday spends too so hopefully I can over pay with what's left.
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • kev2009
    • By kev2009 23rd Apr 18, 4:26 PM
    • 252 Posts
    • 346 Thanks
    kev2009
    Hi Labradorlove,

    Interesting diary, good luck with your MF endeavour.

    Just thought i'd mention it, I presume you have put money aside as a emergency fund? To help protect against any unforeseen costs or job loss?

    I am in a similar position to you, I have about the same amount of mortgage left to pay as you, I had to take mine over 30 years as I wouldn't fit in the 25 year term I ideally wanted, I suspect that was mainly due to there fact i'm single and therefore only 1 income so they probably went on the side of caution and chose a longer period with a lower rate in the hopes I could have some money left over to cover any unforeseen issues arising. I fixed mine for 5 years and that runs out in 2020 so with the potential theories of what the interest rate will be by then, some people I've read online (not on the forums but elsewhere) are predicting rates will be 3 - 4% but again its all guess work and no one knows for sure.

    I am also with Santander so will be interesting to see what the process is at the end of your 2 year fixed, i'm unsure what happens then. I mean i know i will revert to the variable rate but I believe Santander will write to advise of my options i.e to fix for another x years but i'm unsure if its as simple as logging in online, viewing the offer and going accept or if you need to provide some paper work etc like when you first took out the mortgage and if they need to re-value your house etc. Never been through this before as this is first house I've owned.

    I haven't paid any over payments at all so far, I was toying with the idea of do I overpay OR do I pay what I would overpay into a different account and then later on when my fixed term ends look to pay a lump sum when no limit on what could over pay or just let the accouont build up until it reaches the amount I owe and then pay it all off. So far I've been working on getting some money put aside to cover unforeseen issues, mainly from any potential job loss and taking a while to find a new role.

    My current plan is, if all things look ok, to make a over payment in a lump sum next year and then to do the same the following year to try and counteract the rate rise so that i'm not suddenly needing to find significantly more money each month.

    Also incidentally, when you make your over payment, are you paying it off from the capital or the interest? I believe the best way is to pay it off from the capital but I've yet to actually do this so can't say for certain.

    Best of luck and keep your updates coming, will be interesting to follow

    Kev
    • labradorlove
    • By labradorlove 24th Apr 18, 8:15 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Hi Labradorlove,

    Interesting diary, good luck with your MF endeavour.

    Just thought i'd mention it, I presume you have put money aside as a emergency fund? To help protect against any unforeseen costs or job loss?

    I am in a similar position to you, I have about the same amount of mortgage left to pay as you, I had to take mine over 30 years as I wouldn't fit in the 25 year term I ideally wanted, I suspect that was mainly due to there fact i'm single and therefore only 1 income so they probably went on the side of caution and chose a longer period with a lower rate in the hopes I could have some money left over to cover any unforeseen issues arising. I fixed mine for 5 years and that runs out in 2020 so with the potential theories of what the interest rate will be by then, some people I've read online (not on the forums but elsewhere) are predicting rates will be 3 - 4% but again its all guess work and no one knows for sure.

    I am also with Santander so will be interesting to see what the process is at the end of your 2 year fixed, I'm unsure what happens then. I mean i know i will revert to the variable rate but I believe Santander will write to advise of my options i.e to fix for another x years but i'm unsure if its as simple as logging in online, viewing the offer and going accept or if you need to provide some paper work etc like when you first took out the mortgage and if they need to re-value your house etc. Never been through this before as this is first house I've owned.

    I haven't paid any over payments at all so far, I was toying with the idea of do I overpay OR do I pay what I would overpay into a different account and then later on when my fixed term ends look to pay a lump sum when no limit on what could over pay or just let the accouont build up until it reaches the amount I owe and then pay it all off. So far I've been working on getting some money put aside to cover unforeseen issues, mainly from any potential job loss and taking a while to find a new role.

    My current plan is, if all things look ok, to make a over payment in a lump sum next year and then to do the same the following year to try and counteract the rate rise so that i'm not suddenly needing to find significantly more money each month.

    Also incidentally, when you make your over payment, are you paying it off from the capital or the interest? I believe the best way is to pay it off from the capital but I've yet to actually do this so can't say for certain.

    Best of luck and keep your updates coming, will be interesting to follow

    Kev
    Originally posted by kev2009

    Hi Kev,


    Thank you for reading! In regards to the emergency fund, it's only something we've spoke about this month after reading other diaries on here. So I opened a savings account with Santander, as we have a 123 select account they have given us 5% aer fixed, we have only put in 20 each this month with the holiday being this month too, but we all have to start somewhere.
    Before reading on here I naively assumed I'd be covered by Life Insurance if either of us lost our job but I can't remember what type of life insurance we have I will have to read up on it.


    The rising interest rates are something that I do think about it makes me wish we'd have tied in for a few more years but being FTB ourselves we weren't really that clued up, we just went with the lowest interest rate. It will be interesting to see what they offer us in/before June 2019 as we should be 85% LTV then so hopefully the rate will be worth fixing for 5-10 years. But I'll keep updating my diary then you might have a better understanding for when yours ends too!


    And with your overpayments I think it depends on how much you're looking to over pay. From what I've read, it's better to overpay as soon as you can afford to as it knocks interest off there and then whereas if you leave it a year, that's a years worth of interest you've built up. With ours, we have an overpayment limit of around 12k a year which we wouldn't come close to reaching unless our circumstances changed. But it might be better for you to reach your limit then put anything over to the side for that lump sum after your fixed rate ends/until you have enough to pay the full mortgage. We pay off the capital and they give you an option to reduce your monthly payment or reduce your term time but we chose term time.


    Good luck to you on your journey and I hope you find the best way to be mortgage free
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • deckarkhipova
    • By deckarkhipova 25th Apr 18, 3:32 AM
    • 3 Posts
    • 7 Thanks
    deckarkhipova
    keep going and good luck!!!
    why a signature?
    • kev2009
    • By kev2009 29th Apr 18, 5:10 PM
    • 252 Posts
    • 346 Thanks
    kev2009
    Hi Kev,


    Thank you for reading! In regards to the emergency fund, it's only something we've spoke about this month after reading other diaries on here. So I opened a savings account with Santander, as we have a 123 select account they have given us 5% aer fixed, we have only put in 20 each this month with the holiday being this month too, but we all have to start somewhere.
    Before reading on here I naively assumed I'd be covered by Life Insurance if either of us lost our job but I can't remember what type of life insurance we have I will have to read up on it.


    The rising interest rates are something that I do think about it makes me wish we'd have tied in for a few more years but being FTB ourselves we weren't really that clued up, we just went with the lowest interest rate. It will be interesting to see what they offer us in/before June 2019 as we should be 85% LTV then so hopefully the rate will be worth fixing for 5-10 years. But I'll keep updating my diary then you might have a better understanding for when yours ends too!


    And with your overpayments I think it depends on how much you're looking to over pay. From what I've read, it's better to overpay as soon as you can afford to as it knocks interest off there and then whereas if you leave it a year, that's a years worth of interest you've built up. With ours, we have an overpayment limit of around 12k a year which we wouldn't come close to reaching unless our circumstances changed. But it might be better for you to reach your limit then put anything over to the side for that lump sum after your fixed rate ends/until you have enough to pay the full mortgage. We pay off the capital and they give you an option to reduce your monthly payment or reduce your term time but we chose term time.


    Good luck to you on your journey and I hope you find the best way to be mortgage free
    Originally posted by labradorlove
    Hi labradorlove,

    Many thanks.
    Similarly to you, when i bought my place, i was a FTB and I was looking at mortgages and tbh I was immediately thinking 10 year fixed sounds the best way to go as I will know exactly what i'm paying each month for 10 years but my mortgage adviser advised me to go for 5 years due to:-

    1) Interest rates were reducing and was no signs of them going back up and if they did it would be a small amount.
    2) My situation could change as in maybe come into some money through inheritance and then If i wanted to pay the mortgage off i'd have to pay a early repayment fee which i forget exactly but its a few thousand pound just for the privilege of paying my mortgage off - didn't sound appearing.

    So i decided to take his advise as he does this for a living and fixed for 5 years. Like yourself, I have a similar yearly limit and also like you there is no way I can save that amount each year, based in my single income, so my plan has been to save what I can each year and then in year 4 I want to pay the full 10% off and then a couple of months before my fixed rate ends in year 5, to then if possible pay off another 10% (or whatever I can afford). I will obviously keep an eye on interest rates and decide closer to the time but my thinking is IF i can pay these 2 over payments, that will go some way to offsetting the potential interest rate rise and hopefully meaning I continue to pay the same amount as I do now each month (or less ideally).

    When I call up Santander i'll have to seek there advise as I just thought IF i overpay 10% and say keep the term the same and the monthly payment the same, i guess the actual monthly payment will reduce and i'd effectively be making a over payment each month then? Will need to read a bit more about this... I was hoping to overpay and keep the term the same and then continue to pay the same each month however if it means i'm paying x over payment per month that will reduce my second years amount I can pay so will have to consider it.

    My overall plan is to finish my mortgage in 15 - 20 years, i don't want to go the full 30 year term if i can avoid it.

    I don't have any cover if i'm out of work, it is something I've considered but I believe they will all want probably 20 - 30 quid a month? to enable me to keep a income sufficient to enable me to cover my mortgage + bills each month so part of me thinks am i better just building up savings to cover it and not pay the 20-30? or maybe more? I mean if I pay into it for 5 years and i'm still working i could of had that money in my hand, I guess like any insurance its a gamble as to whether you benefit or not..

    Enjoy your Holiday!

    Kev
    • kev2009
    • By kev2009 21st May 18, 5:09 PM
    • 252 Posts
    • 346 Thanks
    kev2009
    Hi Labradorlove,

    How are things going? Any updates?

    I started looking at the over payment side and having it reduce my mortgage payments and then making a 1 off over payment each year and for me it works out i'd owe an extra 500-600 quid. Not the end of the world so i'm now considering making a small 1 off over payment this year, no where near the 10% amount but it should be enough to get me nearer to my original figure i was predicting i'd owe at the end of year 5 until i realised i was reducing the term i believe.

    Still got a few months to decide, got a few large bills coming up over the next few months so will have to play it by ear.

    Looking forward to your update.

    Kev
    • freedomby30
    • By freedomby30 22nd May 18, 10:31 PM
    • 38 Posts
    • 77 Thanks
    freedomby30
    We were 22 too once!
    We were 22 when we bought our first house. 151k with a 120800 mortgage. Everyone thought we were nuts, even before we told them about our overpaying.

    We are now 3 and a half years on and only 5,999 away from having paid off a third of our mortgage!!!!!! (and have 301.94 sat there to op tomorrow!)

    We would have paid alot more but we have done costly repairs to the property and accidentally bought a second house

    Our plan is to pay off the mortgage by age 30 hence the user name!

    Well done on the cheap interest rate, ours is 4.09% can't wait to reduce it next year as we are just about to cross the 60% ltv bracket

    Anyways welcome and good luck!!
    • labradorlove
    • By labradorlove 31st May 18, 9:43 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Hi Kev,

    Sorry for the late reply it's been non stop since getting back off our holiday! (Which was a m a z i n g! Definitely recommend visiting Cuba, the people are the so friendly!)

    Might be best to see how you get on after you've made all the big payments coming up and then whatever's left over you can put aside to over pay whether it be a lump sum or small amounts a time, the main thing is you've set yourself a goal and you're thinking about the best ways to reach it Wish you all the best of luck!
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • labradorlove
    • By labradorlove 31st May 18, 9:51 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    We were 22 when we bought our first house. 151k with a 120800 mortgage. Everyone thought we were nuts, even before we told them about our overpaying.

    We are now 3 and a half years on and only 5,999 away from having paid off a third of our mortgage!!!!!! (and have 301.94 sat there to op tomorrow!)

    We would have paid alot more but we have done costly repairs to the property and accidentally bought a second house

    Our plan is to pay off the mortgage by age 30 hence the user name!

    Well done on the cheap interest rate, ours is 4.09% can't wait to reduce it next year as we are just about to cross the 60% ltv bracket

    Anyways welcome and good luck!!
    Originally posted by freedomby30

    Wow that's incredible!! Congratulations on how far you've already come you both should be very proud! Bet you don't look so nuts now to be MF by 30.... I can dream!

    In the past year I've noticed there's always something to crop up that costs whether it's a forgotten birthday, a dodgy leak or in my case, unexpected vet trips!! But you've come so far already good luck on the rest of your journey I'll definitely be following your thread to see how you get on
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • labradorlove
    • By labradorlove 31st May 18, 10:35 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Just another update:

    Nothing done on the overpayment front Feeling bad that I can't overpay at the moment I don't have anything left over this month due to building car savings and splashing out on a lot of takeaways to make up for the post holiday blues.

    I set up my direct debit for the MBNA credit card, first payment of 200 to come out on 11/06/2018 (100 from me, 100 from DF (already had this sat aside))

    DF wants to clear the credit card before continuing his contributions to OP on the mortgage. The credit card will take 20 months to pay so that takes us to Feb 2020, which means no OP from DF until then!!

    It's now unrealistic of me to think I can reach my set OP target of 2,400 this year, it would mean me contributing 285 a month! And I can't be 100% sure, as I need to complete an SOA, but after all my outgoings I think I have around 300 spare a month which is for car savings, however I'm debating whether to contribute 100 a month of that to the mortgage, or even just 50 just so I'm not feeling like I'm letting myself down by not contributing at all these next 20 months!!

    In other news we had a valuation (just out of interest) on our house and was told it's worth 140,000-145,000, compared to the 135,000 when we bought it this time last year. I think having the garden done while we were away helped with that as it looks so beautiful now, plus houses in the area being sold recently for slightly more too. So looking at the garden as an investment and do not mind paying it off until Feb 2020 I am now considering if it will be worth re-mortgaging come June 2019 with what could be a better LTV? Not sure how it works so will need to do more research into this but have plenty of time.


    Doing well with car savings, now have 500, just another 2000 and I will buy a car and pay a years insurance.

    The emergency fund was also building nicely (including an EON refund of 190 that we added to the fund) until our dog got poorly and it cost 70 for treatment, he still isn't better so going through tests at the moment which has cost a further 140 however I've been able to put a claim in for both as we have 70 excess with our pet insurance so we should get the 140 back -fingers crossed. Current emergency fund balance 126.76. Not a lot but it's come in handy so far! (Thanks again Kev as it's something I didn't consider having before).

    Also me and DF have started a Christmas fund of 30 each a month, it means that it won't put a big hole in our November/December wages when the time comes!

    Currently looking to switch energy supplier, will probably stay with EON as they have cheap offers, and I don't want to go with a supplier I've never heard of. Going to keep an eye on energy club and EONs website and hopefully sort something by the end of next week.

    Hope you all have a good weekend! DF birthday meal so will be taking a trip to an expensive steakhouse (another reason I'm a bit skint this month) but he's worth every penny
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

  • E.ON Company Representative: Malc
    E.ON Tariffs
    Just another update:

    The emergency fund was also building nicely (including an EON refund of 190 that we added to the fund) until our dog got poorly and it cost 70 for treatment, he still isn't better so going through tests at the moment which has cost a further 140 however I've been able to put a claim in for both as we have 70 excess with our pet insurance so we should get the 140 back -fingers crossed. Current emergency fund balance 126.76. Not a lot but it's come in handy so far! (Thanks again Kev as it's something I didn't consider having before).

    Currently looking to switch energy supplier, will probably stay with EON as they have cheap offers, and I don't want to go with a supplier I've never heard of. Going to keep an eye on energy club and EONs website and hopefully sort something by the end of next week.

    Hope you all have a good weekend! DF birthday meal so will be taking a trip to an expensive steakhouse (another reason I'm a bit skint this month) but he's worth every penny
    Originally posted by labradorlove
    Hello labradorlove and glad we sorted your refund okay. Sorry, though, your dog is poorly and hope he's better soon.

    As you say, a good place to see our tariffs is on our website. Don't know if you're aware but, provided you've registered with the website, you can forward switch to a tariff by up to 52 days in the future. No need to worry if the chosen tariff is removed from sale before this. Once a future date has been chosen, it'll be locked in and you'll still be able to go on to the tariff on the chosen date. This service is only available through our website.

    If you decide to change supplier and are on a Fixed Tariff, you'll have the benefits of the Price Protection window. This is open 49 calendar days before a Fixed Tariff ends until 20 working days after. Provided the new supplier tells us, we'll keep you on the cheaper prices whilst the switch goes through. Exit fees also don't apply whilst in this window. We'll be in touch before your current tariff ends with more details.

    As above, our website is a good starting point although we've just been told we've released a tariff today exclusively through Price Comparison sites like moneysupermarket, energyhelpline and uSwitch. Don't have any details or if it's any good. All I know for now is it's called Go Online v12 and customers need to pay with a Monthly Direct Debit to qualify. Also, forward switching isn't an option with this tariff. I'd pop your usage in kWh on to these comparison sites. They'll show what's available not just with us but with the other suppliers too. See what's best for you.

    Hope this is useful labradorlove. Let me know if you need any more information as happy to help. Enjoy your meal and have a good weekend.

    Malc
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
    • labradorlove
    • By labradorlove 5th Jun 18, 8:26 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Hello labradorlove and glad we sorted your refund okay. Sorry, though, your dog is poorly and hope he's better soon.

    As you say, a good place to see our tariffs is on our website. Don't know if you're aware but, provided you've registered with the website, you can forward switch to a tariff by up to 52 days in the future. No need to worry if the chosen tariff is removed from sale before this. Once a future date has been chosen, it'll be locked in and you'll still be able to go on to the tariff on the chosen date. This service is only available through our website.

    If you decide to change supplier and are on a Fixed Tariff, you'll have the benefits of the Price Protection window. This is open 49 calendar days before a Fixed Tariff ends until 20 working days after. Provided the new supplier tells us, we'll keep you on the cheaper prices whilst the switch goes through. Exit fees also don't apply whilst in this window. We'll be in touch before your current tariff ends with more details.

    As above, our website is a good starting point although we've just been told we've released a tariff today exclusively through Price Comparison sites like moneysupermarket, energyhelpline and uSwitch. Don't have any details or if it's any good. All I know for now is it's called Go Online v12 and customers need to pay with a Monthly Direct Debit to qualify. Also, forward switching isn't an option with this tariff. I'd pop your usage in kWh on to these comparison sites. They'll show what's available not just with us but with the other suppliers too. See what's best for you.

    Hope this is useful labradorlove. Let me know if you need any more information as happy to help. Enjoy your meal and have a good weekend.

    Malc
    Originally posted by E.ON Company Representative: Malc

    Thank you Malc! I followed your advice and have applied to switch my tariff through the Cheap Energy Club for the new V12 Go online which suits us great and the best deal I've come across so far, I switched yesterday so just waiting for updates now. As I'm already with EON I can't imagine they'll have to do much in terms of credit searches, background checks etc. Plus 25 cashback after 3 months!

    Thanks again!
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

  • E.ON Company Representative: Malc
    E.ON Go Online v12
    Thank you Malc! I followed your advice and have applied to switch my tariff through the Cheap Energy Club for the new V12 Go online which suits us great and the best deal I've come across so far, I switched yesterday so just waiting for updates now. As I'm already with EON I can't imagine they'll have to do much in terms of credit searches, background checks etc. Plus 25 cashback after 3 months!

    Thanks again!
    Originally posted by labradorlove
    You're welcome labradorlove. Happy to help.

    Just a quick heads up. As this tariff is only available through Price Comparison sites, the switch will take a bit longer than if going through our website. They come over in batches from the respective sites and are looked after by a specialist team. It'll go through within 10 working days but don't worry, the switch will be back dated and start from your chosen date. As you say, as an existing customer, none of the usual stuff involved with a change of supplier will apply.

    Enjoy the cashback.

    Malc
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
    • kev2009
    • By kev2009 5th Jun 18, 7:48 PM
    • 252 Posts
    • 346 Thanks
    kev2009
    Hi Kev,

    Sorry for the late reply it's been non stop since getting back off our holiday! (Which was a m a z i n g! Definitely recommend visiting Cuba, the people are the so friendly!)

    Might be best to see how you get on after you've made all the big payments coming up and then whatever's left over you can put aside to over pay whether it be a lump sum or small amounts a time, the main thing is you've set yourself a goal and you're thinking about the best ways to reach it Wish you all the best of luck!
    Originally posted by labradorlove
    Hi Labradorlove,

    No problem, i figured you were either away or busy catching up with things.

    Yeah, will see how things are when i get a better idea of my unexpected costs. however, i'm also conscious i only have till realistically Sept. to make a over payment (unsure how long it take to go through etc as would be first time doing it) and if i don't i could end up missing my target amount at the end of 5 years which if interest rates rise as expected, could end up costing me more money per month which i'm sooo keen to avoid.

    Overall, depending on how much my unforseen costs are could potentially have a knock on effect next year and mean i can't overpay what i want to but will have to wait and see.

    Yes, i definitely have a goal in mind, i have a spreadsheet which shows what i should owe each month/year etc but I am expecting it to be slightly out as when it calculates my Monthly repayment it is 1p our from what i actually pay (no idea why) so i'm not expecting it to be 100% exact but i'm hoping to be in that rough ball park.

    Hope you vet bills are not increasing.

    Kev
    • kev2009
    • By kev2009 5th Jun 18, 9:17 PM
    • 252 Posts
    • 346 Thanks
    kev2009
    Just another update:

    Nothing done on the overpayment front Feeling bad that I can't overpay at the moment I don't have anything left over this month due to building car savings and splashing out on a lot of takeaways to make up for the post holiday blues.

    I set up my direct debit for the MBNA credit card, first payment of 200 to come out on 11/06/2018 (100 from me, 100 from DF (already had this sat aside))

    DF wants to clear the credit card before continuing his contributions to OP on the mortgage. The credit card will take 20 months to pay so that takes us to Feb 2020, which means no OP from DF until then!!

    It's now unrealistic of me to think I can reach my set OP target of 2,400 this year, it would mean me contributing 285 a month! And I can't be 100% sure, as I need to complete an SOA, but after all my outgoings I think I have around 300 spare a month which is for car savings, however I'm debating whether to contribute 100 a month of that to the mortgage, or even just 50 just so I'm not feeling like I'm letting myself down by not contributing at all these next 20 months!!

    In other news we had a valuation (just out of interest) on our house and was told it's worth 140,000-145,000, compared to the 135,000 when we bought it this time last year. I think having the garden done while we were away helped with that as it looks so beautiful now, plus houses in the area being sold recently for slightly more too. So looking at the garden as an investment and do not mind paying it off until Feb 2020 I am now considering if it will be worth re-mortgaging come June 2019 with what could be a better LTV? Not sure how it works so will need to do more research into this but have plenty of time.


    Doing well with car savings, now have 500, just another 2000 and I will buy a car and pay a years insurance.

    The emergency fund was also building nicely (including an EON refund of 190 that we added to the fund) until our dog got poorly and it cost 70 for treatment, he still isn't better so going through tests at the moment which has cost a further 140 however I've been able to put a claim in for both as we have 70 excess with our pet insurance so we should get the 140 back -fingers crossed. Current emergency fund balance 126.76. Not a lot but it's come in handy so far! (Thanks again Kev as it's something I didn't consider having before).

    Also me and DF have started a Christmas fund of 30 each a month, it means that it won't put a big hole in our November/December wages when the time comes!

    Currently looking to switch energy supplier, will probably stay with EON as they have cheap offers, and I don't want to go with a supplier I've never heard of. Going to keep an eye on energy club and EONs website and hopefully sort something by the end of next week.

    Hope you all have a good weekend! DF birthday meal so will be taking a trip to an expensive steakhouse (another reason I'm a bit skint this month) but he's worth every penny
    Originally posted by labradorlove
    Hi,

    Just saw your update post

    Clearing the CC does sound good idea, i tend to use mine but clear it each month.

    Congrats on the house valuation, must feel good knowings it has made a few quid already

    Interesting read, so at the end of your fixed mortgage, the mortgage provider doesn't re-evaluate your home and then give you a choice of options based on the current price of your property vs mortgage you have? I have never had a mortgage before as my initial fixed period doesn't run out till 2020 so still learning as i go

    Congrats on the car savings! Any idea what car you are planning to get? Will you buy it outright or PCP?

    No problem RE the emergency fund, it is always worth having so that if something happens there isn't that feeling of how will i pay the bills etc. I personally classify it all as Savings, i just try and save a fixed amount each month and then from this i then use the money for hols/birthdays/xmas/emergencies etc. However, I work it kinda 2 fold - as well as the above, I also have set a figure that I don't want my savings to go below as i know for example that is enough money to pay for 6 months or 1 year of bills etc. Just another safety net so to speak.

    wow 360 xmas fund for each other - some big xmas pressies being bought

    My energy suppliers are fixed until early part of 2019 (was a 2 year deal), i too didn't pick the cheapest but looked at reviews etc and made a choice from there. Was a lot of companies i had never heard of and some had not so good reviews. I hadn't heard o my Gas supplier but they get very good reviews and have been consistently over 90 or 95% i think in the yearly reviews on this site i think it is so i gave them a go and it all went smoothing, no issues. My electric i went with a fairly well know company just because the prices were not too bad, significantly cheaper than BG who i had both with before as that is who supplied the property when i moved in and not knowing my usage i just stick with them for a year to get an idea so i had something to base comparison on.

    So over xmas this year i'll likely be looking on the comparison sites to get a feel for what prices are like and probably sign up to another fixed tariff as for me i like the idea of know what i'm paying (subject of course to usage increasing) plus prices always go up so i like the idea of prices going up and myself still being on the old rate

    Kev
    • labradorlove
    • By labradorlove 7th Jun 18, 11:00 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Hi,

    Just saw your update post

    Clearing the CC does sound good idea, i tend to use mine but clear it each month.

    Congrats on the house valuation, must feel good knowings it has made a few quid already

    Interesting read, so at the end of your fixed mortgage, the mortgage provider doesn't re-evaluate your home and then give you a choice of options based on the current price of your property vs mortgage you have? I have never had a mortgage before as my initial fixed period doesn't run out till 2020 so still learning as i go

    Congrats on the car savings! Any idea what car you are planning to get? Will you buy it outright or PCP?

    No problem RE the emergency fund, it is always worth having so that if something happens there isn't that feeling of how will i pay the bills etc. I personally classify it all as Savings, i just try and save a fixed amount each month and then from this i then use the money for hols/birthdays/xmas/emergencies etc. However, I work it kinda 2 fold - as well as the above, I also have set a figure that I don't want my savings to go below as i know for example that is enough money to pay for 6 months or 1 year of bills etc. Just another safety net so to speak.

    wow 360 xmas fund for each other - some big xmas pressies being bought

    My energy suppliers are fixed until early part of 2019 (was a 2 year deal), i too didn't pick the cheapest but looked at reviews etc and made a choice from there. Was a lot of companies i had never heard of and some had not so good reviews. I hadn't heard o my Gas supplier but they get very good reviews and have been consistently over 90 or 95% i think in the yearly reviews on this site i think it is so i gave them a go and it all went smoothing, no issues. My electric i went with a fairly well know company just because the prices were not too bad, significantly cheaper than BG who i had both with before as that is who supplied the property when i moved in and not knowing my usage i just stick with them for a year to get an idea so i had something to base comparison on.

    So over xmas this year i'll likely be looking on the comparison sites to get a feel for what prices are like and probably sign up to another fixed tariff as for me i like the idea of know what i'm paying (subject of course to usage increasing) plus prices always go up so i like the idea of prices going up and myself still being on the old rate

    Kev
    Originally posted by kev2009

    No I don't think it works like that, as far as I'm aware at the end of your fixed rate you can remortgage elsewhere (which involves further credit checks, valuation of your home etc) or you can renegotiate with your current mortgage provider on a new fixed rate.


    In regards to car savings I'm not entirely sure I'm just going to continue saving as much as I can in the hopes that I'll be able to buy outright but we'll see when the time comes depending on my situation at that time. I'm in no rush for one as my DF works close and he takes me there and back. But planning ahead in case either of us gets a new job as we're both working on moving up in our careers.



    I wish we were spending that much on eachother! 360 each covers everything at Christmas, gifts for each other, our fur baby, our families, and alcohol all factored in


    Make sure you take advantage of the MSE energy club to compare and you can select an option to remove all those companies you haven't heard of and focus on the big suppliers. Good luck
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • labradorlove
    • By labradorlove 7th Jun 18, 11:09 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Hmmm so been working out some finances. When I get paid on the 16th I can overpay 82, bringing the mortgage down to a whole number to 118,700. It means putting less in my savings but with their being no immediate rush for a car, I'm going to continue to OP and set my new end of year target to 1000 as it's only me contributing.


    Still better than not OP'ing at all!


    So 600 left to pay before the end of the year.

    When payday arrives it'll be down to 518


    I can do this! New target, new goal, achievable? Yes! Just hope I can stick to it!
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

    • labradorlove
    • By labradorlove 7th Jun 18, 11:26 AM
    • 45 Posts
    • 59 Thanks
    labradorlove
    Been a bad month budget wise


    Money lost from pay

    -140 vet fees (Hoping to get back from pet insurance, just waiting for the claim to be processed)

    -30 emergency dentist fees (Painful tooth infection and have another appointment next week so more to be lost

    -200 on DF birthday gifts and meal


    Money lost from emergency funds

    -50 to Homeserve (Excess paid for plumber to sort out leaking toilet -apt booked Friday pm)


    Kind of over spent this month with unexpected outgoings but looking forward to payday next week to get back on track! With budgets and OPing


    Also found 10 in an old coat pocket, going to live on that until next Friday. If I spend anything else it means going into savings!! Must avoid at all costs! Fridge and freezer are both full so it's do able.
    Mortgage left: 118,502
    Car savings: 2,500/1000
    OP Target 2018: 2,400/400
    MBNA Card: 3,800/400

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