PAYING EXTRA AGAINST YOUR MORTGAGE:

Depending on your mortgage terms and conditions, you may be permitted to make additional payments against your mortgage account.  This could be in the form of an extra amount each month, it could be occasional lump sum payments (for example if you receive a bonus at work).   It's important to check how your lender treats additional payments. 

What you are seeking is to offset any additional payments against your mortgage term (ie reduce the duration of your mortgage).  This way, you can greatly reduce the amount you pay in interest against the loan, and can repay it earlier. 

Try the Google Sheets mortgage calculator (see   button above this Article)

It is a real surprise to see the effect that an additional payment, particularly in the early years, can have on the total paid.  It means each subsequent monthly payment is allocated less to interest repayment and more to capital (loan balance) repayment.

If you are in a position to make (either one off or regular) additional mortgage payments, check how these are dealt with for YOUR mortgage policy.   Start a discussion with your lender, and make the additional payments when suits you... 

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