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Mortgage Overpayment Calculator

See how much time and money you could save by making regular monthly overpayments on your mortgage.

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Your Mortgage

£
%
years
£

Interest Saved

£25,381.91

Time Saved

2 years and 11 months
Original monthly payment£1,461.48
New monthly payment (with overpayment)£1,561.48
Original total interest£188,442.53
New total interest£163,060.62
Original mortgage-free dateApril 2051
New mortgage-free dateMay 2048
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Understanding Mortgage Overpayments

Making overpayments on your mortgage means paying more than your required monthly amount. This extra payment goes directly towards reducing the outstanding capital of your loan. By reducing the principal balance faster, you decrease the amount of interest that accrues over the lifetime of the mortgage. The result can be significant savings and becoming mortgage-free years earlier. This Calculator Site tool is designed to show you exactly how much you could save.

Before you start, it is crucial to check your mortgage terms. Most lenders cap the amount you can overpay each year, typically at 10% of the outstanding balance, without incurring an Early Repayment Charge (ERC). Exceeding this limit can lead to penalties that might offset your savings. You can find more details on our main mortgage calculator page.

Is overpaying right for you?

It is wise to have a healthy emergency fund (3-6 months of expenses) before committing extra cash to your mortgage. Consider clearing high-interest debts first. Check if investing might offer better returns using our compound interest calculator.

How to use this tool

Enter your outstanding balance, interest rate, and remaining term. Then input your monthly overpayment amount. The calculator instantly shows your potential savings and new mortgage-free date.

The Power of Overpaying

Even small, regular overpayments can make a surprisingly large difference over the long term. The effect compounds, saving you more and more interest as your balance decreases faster.

These figures assume a 5% interest rate over 25 years. The higher your interest rate, the more you stand to save. For a complete financial picture, consider using our Budget Planner to see how overpayments fit into your monthly spending.

£26,878

Saved on a £250k loan with £100/mo overpayment

4yr 1mo

Time saved on a 25-year term

10%

Typical annual overpayment limit before ERCs

Frequently Asked Questions

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