Clearing Mortgage Penalties

somesoldiers

Hi All

I am hoping to be in a position to clear my mortgage by early next year. Last year end balance was 300K, so should be 290K or so come then. Does anyone know if I arrive to the bank with the balance owed on the a/c can I close the mortgage or would there typically be any penalties for closing early? I will have 28 years left on the mortgage at this stage. Am meeting the bank next week just want to be as forearmed as possible

thanks

Noel

mickman

somesoldiers wrote: »

Hi All

I am hoping to be in a position to clear my mortgage by early next year. Last year end balance was 300K, so should be 290K or so come then. Does anyone know if I arrive to the bank with the balance owed on the a/c can I close the mortgage or would there typically be any penalties for closing early? I will have 28 years left on the mortgage at this stage. Am meeting the bank next week just want to be as forearmed as possible

thanks

Noel

did you win the lotto :-)

somesoldiers

HA, I wish, suppose if I did I wouldn't be worried about penalties

mickman

there will be penalties if its a fixed rate only

somesoldiers

It's variable, just found this actually and looking at my statement from last year below is exactly what happened. so should be good then, thanks Mick

EBS changes effective June 1st 2013:
- Owner occupier standard variable rate will increase by 0.25% from 4.33% to 4.58%

mickman

somesoldiers wrote: »

It's variable, just found this actually and looking at my statement from last year below is exactly what happened. so should be good then, thanks Mick

EBS changes effective June 1st 2013:
- Owner occupier standard variable rate will increase by 0.25% from 4.33% to 4.58%

should be good to go so.

Kenno90

If it hasen't been said, congrats on finishing the mortgage.

Now can i have a lend of some money

somesoldiers

ha- well will be selling up where I am and moving down to sticks so will be hoping to build for half what my current mortgage is late next year- so not quite out of the woods yet!

SBarrett

Don't just rock up to the bank with your wheelbarrow of cash , notify them in advance and ask them to tell you the closing balance. otherwise, there may be an element of interest that had not yet been added and you will have a final deduction after you had thought you had cleared the lot.


Steven

somesoldiers

Thanks, I emailed them earlier with all the details, rather than having to go through all on the phone first time and am awaiting a call back tomorrow

Trish56

Don't forget to get back your deeds. There will be a small charge by bank to release same.

somesoldiers

Ok thanks Trish

phormium

If you have a mortgage then your bank has the deeds and will release them to your solicitor prior to selling and the solicitor will be the one who gets the funds from the house sale and pays off the bank. You won't even see the funds to clear the mortgage