Paying off mortgage
Discussion
In 1991 I took on a typical redemption mortgage over 25 years. When interest rates went up I paid the additional required, and when they went down I maintained the increased payment. This meant I paid off the mortgage in about 10 years. I seem to recall I worked out I "saved" about £80,000 by doing so.
I retired 3 years later.
R.
I retired 3 years later.
R.
I paid off my mortgage 14 years ago. Never felt the need to borrow money since then, so had no need for credit ratings. Moved 12 years ago, still mortgage free. Set up a LR alert thing some years ago and each year they tell me no one else wants my house. deed are in the LR as suggested so no need to pay someone to borrow a couple of hundred quid.
Dicky Knee said:
Looks like another little rule that the banks build in to make a bit more money out of their customers.
It isn't, it was the Govenrment over-reacting to the 2008 issues, which 110% and interest-only mortgages contributed to - they insist that you can't be left at the end of your mortgage term with the debt not paid down. It's not entirely unsensible, but it is annoying if you can actually be trusted to pay off your mortgage without having your hand held.What has really annoyed me and I'm going to name and shame Scottish Widows for this is that they don't credit your offset balance until a month later. So the first month you get ripped for the full interest no matter how offset you are at day 1. I spoke to them about this and was annoyed, but what can you do. But they pulled the same stunt on remortgaging, even though in arears would mean they owe you an interest credit from the previous month in the first month of the remortgage. I need to harass them about that, it'll probably end up with the ombudsman, because doing it on a remortgage is properly cheeky.
This credit rating thing, paid my mortgage off in 2018. Moved house in 2021 requiring a mortgage, didn't have any issue borrowing the required amount (reasonable chunk). Albeit my partner and I have credit cards with mediocre limits, which are cleared monthly.
If it makes financial sense and suits your situation go for it.
If it makes financial sense and suits your situation go for it.
thekingisdead said:
If you do decide to pay it off, register with the land registry for a property alert.
Adds a level of protection should someone try and take a mortgage out on your property
(By having a mortgage / charge on your deeds you are somewhat protected from this)
It’s free service
Just done this as we cleared our mortgage late last year.Adds a level of protection should someone try and take a mortgage out on your property
(By having a mortgage / charge on your deeds you are somewhat protected from this)
It’s free service
Weirdly, almost disconcertingly, easy.
Also feels a bit odd that others could put an alert on your property and you can monitor up to 10 properties.
llewop said:
Also feels a bit odd that others could put an alert on your property and you can monitor up to 10 properties.
There might be reason why someone who isn't on the deeds should be alerted to a property being sold. At a guess :
Complex will ? Property held in trust ? Tenant who would like to know what thier landlord is planning to do ?
Divorced couple with only one persons name on the deeds, but an agreement to split the proceeds on sale ?
Elderly relative with no POA in place ?
In my humble opinion. There's too much s
t hidden by GDPR so it's refreshing, that you can still find out who owns what and how much they paid. I think 10 seems low. What if you had a property empire ?
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