Mortgage - Balance Remaining

[untruth]

We've got a mortgage with Natwest, and they have an online Dashboard showing balance and L2V.

When our payment goes out each month, the balance looks like, say £XXX,300, but then day after day the balance increases to £XXX,500, now it is at £XXX,900.

I'm a FTB so not schooled on mortgages and I don't fancy sitting in a queue on the phone to Natwest. Does this mean our interest is calculated daily and added to the balance?

[Sarnie]

Yes.

[untruth]

Sarnie said:

Yes.

Thank you. Stupid question, I know but I knew you'd have an answer.

We are overpaying regularly so I assume that daily calculated interest is a good thing.

[Sarnie]

untruth said:

Thank you. Stupid question, I know but I knew you'd have an answer.

We are overpaying regularly so I assume that daily calculated interest is a good thing.

Yes, it means the day after you make the overpayment the next days interest is less, because you owe less.