Help me calculate this mortgage rate

[Stillmonday]

If I pay £660 per month mortgage payment and the interest is around 1.9% which works out around £200 interest a month, how much interest would 4% be? Surely not £400???

It doesn't work quite like that.

In the early days, the amount of interest paid off a mortgage is very high, and the capital repayment low. As the mortgage progresses, the interest decreases, and the capital increases.

Depends where you are in the term. Have a play with a mortgage calculator. The interest won't be a straight £200 every month.

On the google one, 1.9% and a 25 year term suggests that you're looking at a mortgage of around £158k with a total repaid of £198600 (average interest per month £135).

If the interest increases to 4%, the payment increases to £834 with a total repaid of £250k (average interest per month £306) also about £170 pm extra payment if going from 1.9% to 4%.

Sorry I should have explained better.

My mortgage is currently £123k and I'm paying £660 pm with interest at 1.9% which makes £200 interest a month (approx)

It's due to go to 4% so I wondered approx how much the interest be on that

I would switch deal if you can before you get stung for extra interest!

Is £123k the current balance or the initial one? That could make a difference to what the new payment would be.

But if the interest rate is due to go up, unless your circumstances have changed so you won't get approved for a new mortgage, it doesn't matter what it will cost at 4% because you don't need to pay it. You just sort yourself out with another deal and carry on paying around 2% or whatever is available.

Since it's a capital and interest mortgage, rather than interest only, it depends how many years it is over.

Switch the deal rather than lapsing onto the standard rate.

Also use an online mortgage calculator to have a look at the interest rate changes.

Current balance is 123k,16 years to go.

Yes I'm going to look for another deal before it switches but I just wanted someone to tell me approx how much the interest would be per month.

Use one of the online calculators. Type in the mortgage amount, term and rate.

Currently your payments will be £743 pcm and from the rate change £868 pcm.

The interest element reduces each year.

Under the current rate the total interest is about £19,700. Under the new rate about £43,700.

Thank you @Al2O3

If you have your original paperwork from when you started than deal it should tell you the payments and interest once your fixed rate ends. It’s called a KFI. Your broker should have supplied it to you.