How much could mortgage overpayments save you?
Compare your repayment mortgage with extra monthly payments and a one-off lump sum. Check the potential interest and term reduction before considering any early repayment charge in your deal.
Overpayment comparison
This is a constant-rate capital-and-interest repayment scenario, NOT an actual UK mortgage product illustration. Rate resets after fixed deals, early repayment charge allowances, offset features, mortgage recasts, tax, insurance, daily interest accrual and fees are excluded except your personally entered one-time charge. Compare with your lender's quote.
Four repayment outcomes
Four repayment outcomes
Interest: £188,442.53
Interest: £152,908.58
Interest: £177,228.86
Interest: £144,657.91
Balance over time
| Month | Interest | Repayment | Mortgage balance remaining |
|---|---|---|---|
| 1 | £1,041.67 | £1,611.48 | £249,430.19 |
| 2 | £1,039.29 | £1,611.48 | £248,858.01 |
| 3 | £1,036.91 | £1,611.48 | £248,283.44 |
| 4 | £1,034.51 | £1,611.48 | £247,706.48 |
| 5 | £1,032.11 | £1,611.48 | £247,127.12 |
| 6 | £1,029.70 | £1,611.48 | £246,545.34 |
| 7 | £1,027.27 | £1,611.48 | £245,961.14 |
| 8 | £1,024.84 | £1,611.48 | £245,374.50 |
| 9 | £1,022.39 | £1,611.48 | £244,785.42 |
| 10 | £1,019.94 | £1,611.48 | £244,193.88 |
| 11 | £1,017.47 | £1,611.48 | £243,599.88 |
| 12 | £1,015.00 | £6,611.48 | £238,003.40 |
| 242 | £5.36 | £1,292.41 | £0.00 |
How to estimate UK mortgage overpayment savings
- 01
Use the amount you still owe and your actual remaining repayment mortgage term in months. Do not enter the property price or original amount unless it is the current outstanding balance.
- 02
Enter a NOMINAL fixed mortgage rate for a mathematical illustration. Most UK fixed mortgage deals last for only a few years, so a rate held for the full remaining 25-year term may not match reality.
- 03
Enter the planned monthly overpayment and, if relevant, a lump sum in a chosen month. This example maintains your usual repayment and REDUCES the term. Ask your lender whether it instead reduces your monthly payments.
- 04
Check your deal's overpayment allowance and any early repayment charge. Some lenders permit up to a certain annual amount without charges; this tool cannot calculate which transactions attract fees.
What this estimate assumes
This is a constant-rate capital-and-interest repayment scenario, NOT an actual UK mortgage product illustration. Rate resets after fixed deals, early repayment charge allowances, offset features, mortgage recasts, tax, insurance, daily interest accrual and fees are excluded except your personally entered one-time charge. Compare with your lender's quote.
Questions about overpaying
Can I overpay 10% of my mortgage with no charge?
Some lenders allow up to 10% per year, but exact limits, calculation bases and early repayment charges vary. Verify your own mortgage contract.
Does this account for a rate change when my fixed deal ends?
No. The chosen annual mortgage rate remains constant in the illustration. Your rate could change when the fixed deal or tracker period ends.
Should I compare overpaying with keeping an emergency fund?
Yes. MoneyHelper recommends considering expensive debts, savings and emergency reserves before using cash for mortgage overpayments.
MoneyHelper — Should you pay off your mortgage early?
This is a constant-rate capital-and-interest repayment scenario, NOT an actual UK mortgage product illustration. Rate resets after fixed deals, early repayment charge allowances, offset features, mortgage recasts, tax, insurance, daily interest accrual and fees are excluded except your personally entered one-time charge. Compare with your lender's quote.