Hello Dear Reader,
Dearly Beloved has gone back to work and I'm home alone. I've lots of really useful things to do but ended up oggling at quilt designs online and ordering quilt books from the library! I know how to waste time!
I did my usual monthly stock take, read my meters, uploaded the meter readings and checked the accounts and budgets. Everything is in order. I have to phone through to Santander every time I make a capital overpayment so they take it from the balance and not the interest. When I've finished the transaction, I always ask for a final balance to check it against my own figures. I've hit a milestone. Since moving to this house in August 2007, we have reduced our mortgage by £100,000! It feels really significant and although almost half of that was deposit from our previous house sale, it still feels like a milestone.
If you are in the process of just starting to over pay your mortgage, or just starting to pay down your debts, then it might seems like a hopeless task. Well, think of this. I like the way interest works. When you borrow money and have a balance of monies yet unpaid, the interest is added every month. I like the opposite maths when paying down a debt, or paying down a mortgage. The overall interest just melts away. I love THIS website, where you can calculate mortgage payments and how much less you will pay in interest by overpaying. You can use THIS to work out what snowballing your debts will save you. If I were to continue to pay my mortgage at the set rate per month, I would have eighteen years and eight months more to pay. By overpaying, I will save ten years and seven months of payments and £56,476 in interest.
I went out for a walk around my little market town of Liskeard and scooped three men's shirts for £3, a Tupperware cake tub for 50p and a dress pattern for 50p. Total spend since the 20th December has been £4! Keeping my costs down mean I can continue to overpay my mortgage and I'm only three and a half years from knocking another fifty off the mortgage balance!
Sorry that this hasn't been a very exciting post but it has been written by a very excited poster who marvels at giving the big banks less of her money than they were expecting to get. As far as I'm concerned, it's a big victory for the 'little guy'!
Love Froogs xxxxx