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    • Asmoosy
    • By Asmoosy 4th Mar 18, 10:28 PM
    • 20Posts
    • 11Thanks
    Remortgaging and overpaying
    • #1
    • 4th Mar 18, 10:28 PM
    Remortgaging and overpaying 4th Mar 18 at 10:28 PM
    This subject baffles me and I find it so hard to understand at some points.
    I have a NatWest mortgage which is fixed for two years.
    I have made 10% overpayments which has helped reduce the interest by around 40pm. I only make overpayments when I can, so sometimes it's little amounts a week, NatWest recalculate my monthly payments automatically when I over pay over 1000, but they don't reduce the term.
    I'm happy there is a drop in interest and will continue to overpay, but I'm
    Coming to the end and will be remortgaging soon. Natwest said that if I stay with them
    They will allow me to pay 20% into my mortgage which is amazing, but I don't have that and will
    Pay what I can.
    My question is, shall I keep up the overpayments and hope I can get a 15 year term? At the point of remortgaging I'll have 23 years left on my current deal.
    Also I used a mortgage broker for my purchase (free in Scotland) shall I use one again or go
    Straight to the banks.
    Thank you in advance
Page 1
    • Niv
    • By Niv 5th Mar 18, 8:17 AM
    • 1,598 Posts
    • 1,377 Thanks
    • #2
    • 5th Mar 18, 8:17 AM
    • #2
    • 5th Mar 18, 8:17 AM
    I would keep the term long and overpay. That way if you get into money issues you have the flexability to reduce your payments by the amount you overpay.

    Target: Mortgage free by 58.
    • juniordoc
    • By juniordoc 5th Mar 18, 8:27 AM
    • 364 Posts
    • 286 Thanks
    • #3
    • 5th Mar 18, 8:27 AM
    • #3
    • 5th Mar 18, 8:27 AM
    Although that depends a little bit on how much self control you have. It can be tempting not to overpay and see it sit in your bank.
    I have a "flexible mortgage that if I frequently overpay but then run into a difficult month or 2, I can ask to underlay if I need to.
    Why not go for somewhere in the middle, go for an 18 or 19 year term and make smaller overpayments as and when you can.
    • Asmoosy
    • By Asmoosy 5th Mar 18, 2:39 PM
    • 20 Posts
    • 11 Thanks
    • #4
    • 5th Mar 18, 2:39 PM
    • #4
    • 5th Mar 18, 2:39 PM
    But with savings earning nothing I'd rather overpay. I would like to be mortgage free as quickly as possible
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