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AIBU?

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Original poster

Does this financially ring true?

434 replies

ManyBooksLittleTime · 06/10/2022 19:48

We bought our house nearly 20 years ago for 245k. Now, 19 years later, we still have 203k left on the mortgage. I know the first years is basically paying interest , but only 42k in 19 years??? We have had good interest rates too.Also, my husband reckons it will go down to 181k by August next year. Please can soneone more astute with finance let me know if these numbers can be right?

OP posts:
perenniallymessy · 06/10/2022 20:00

Sounds like you either had it interest only for a while or your husband has added a lot more than he's let on. Do you generally share finances? Do you have access to all your accounts and is your name on the mortgage?

Could he have borrowed extra to pay off other debts?

When we borrowed extra for the mortgage (for the extension) it goes on as an extra drawdown so we have effectively have two mortgages.

Emmelina · 06/10/2022 20:01

It’s not really useful to compare the balance left with the amount you took out originally if more has been added in between. Of course that pushes the remaining balance back up!
You need to see those statements, Op. find out exactly how much ‘extra’ was taken out each time you switched providers and rates. It must be quite a significant amount of money.

DottyLittleRainbow · 06/10/2022 20:02

Sounds like a fair bit has been added, OP. You’ll have to ask your husband how much. Our statements are online but we get an annual balance statement in the post, one each.

For illustration we took out £225k mortgage 6 years ago and balance is down to £204k already with no overpayments.

CantFindTheBeat · 06/10/2022 20:02

ManyBooksLittleTime · 06/10/2022 19:58

Definitely 203k left. Paying 1.9 k a month now

Depending on your interest rate, OP, that won't pay your mortgage off in 8 years.

It's not a terrible situation but you do need to make sure you have full sight of the mortgage and finances and that both of you are clear on that.

Original poster
ManyBooksLittleTime · 06/10/2022 20:02

Sorry to be so vague. I'll wait til DH gets home and hope he can remember how much we borrowed. I think it was twice and for approx 5- 7 k each time to pay off credit cards. Obviously I should have been seeing mortgage statements all this time, so feeling stupid.

OP posts:
YumYummy · 06/10/2022 20:02

Contact the lender and ask for a statement and history of your borrowing.

DanielRicciardosSmile · 06/10/2022 20:03

So if (rounded for ease) you owe 200k and you're paying 2k a month, at 0% interest that will take 100 months or 7 and a half years.

I can't see that you'll either have knocked 22k off the capital in 10 months or have your mortgage paid back in 8 years.

It sounds like your DH has extended the term at some point.

perenniallymessy · 06/10/2022 20:03

It's fairly normal to add the new arrangement fee and any survey fees onto a mortgage, so if you've been remortgaging every couple of years and adding £2k worth of fees each time it would increase the amount to pay but not by that much!

YumYummy · 06/10/2022 20:03

Did you not need to sign each time the mortgage was increased?

Hankunamatata · 06/10/2022 20:03

£203k divided by 8 divided by 12 = £2144 a month just to pay off £203 nevermind the interest on top

ItsAllAboutElephants · 06/10/2022 20:04

Do you have an endowment policy to pay it off?

CantFindTheBeat · 06/10/2022 20:04

It's easily done, OP.

Sometimes adding debt to the mortgage just makes it feel not like real money.

Bunnycat101 · 06/10/2022 20:05

What’s your interest rate? By plugging it into the calculator I could get close to £180k balance after a year but not for 1900 a month

eg 203k for 8 years @ 3% would be around £2400 a month but the debt would go down as below:

Year Remaining Debt
0 £203,000
1 £180,204
2 £156,714
3 £132,511
4 £107,572
5 £81,875
6 £55,396
7 £28,113
8 £0

Hankunamatata · 06/10/2022 20:05

Most mortgage lenders have online access to mortgage accounts

Calvinlookingforhobbes · 06/10/2022 20:05

i hope you get some answers

lannistunut · 06/10/2022 20:06

ManyBooksLittleTime · 06/10/2022 19:53

It was taken out for 27 years. 8 left on it. We have borrowed a bit more each time we' ve changed mortgage provider- husband v quiet about this

How much more? That is why you have a problem. You need all the statements.

Have you signed the documents - how have you now known about this??

Hotandbothereds · 06/10/2022 20:06

ManyBooksLittleTime · 06/10/2022 20:02

Sorry to be so vague. I'll wait til DH gets home and hope he can remember how much we borrowed. I think it was twice and for approx 5- 7 k each time to pay off credit cards. Obviously I should have been seeing mortgage statements all this time, so feeling stupid.

There’s no way the extra money added can be as low as that, it doesn’t add up.

You need to see all the statements going back to the start of the mortgage, your lender can provide them.

Its irrelevant what he ‘remembers’ this is about facts & figures and the repayments you’re making aren’t going to pay that balance off in the time being suggested.

WaddleAway · 06/10/2022 20:07

By the sounds of it he’ll ‘remember’ what he chooses to remember… which is what he wants you to know.

PeekAtYou · 06/10/2022 20:08

My mortgage companies have sent annual statements. It's hard to comment on the numbers as it depends on how much extra you borrowed and the interest rate but I'd be wondering if he's changed to interest only.

ItsAllAboutElephants · 06/10/2022 20:10

Are you on the mortgage?
Ours send each person an annual statement. identical- arrive in post together.

Hairyfairy01 · 06/10/2022 20:11

Is the mortgage only in his name? I would be asking to see all the mortgage statements. Something is very clearly wrong. He's either added loads to it, or has been interest only for a long time. Don't let him be 'quiet' about this, you need answers and proof.

perenniallymessy · 06/10/2022 20:11

You really need to both sit down and have a proper look at your finances.

Adding credit card debt to a remortgage can sound like a no brainer because the interest rate is lower on a mortgage. However you are generally paying it back over a much longer period so you end up paying more (unless you make overpayments to calculate paying it off quickly).

Unless the credit card bills were due to home improvements that could help increase your home's value, to do it twice sounds like pretty poor financial planning (I totally understand that people can get in debt like that once and have to consolidate it, but it should teach you to be more careful really).

Have you had periods of unemployment where you've had to have mortgage holidays or borrow on cards to manage, or are you just living beyond your means and borrowing to keep up?

passport123 · 06/10/2022 20:12

so you've remortgaged maybe five times so borrowed an extra £35k? so you've paid off about £70k. that's probably about right, you pay off most at the end, unless you overpay. What did you need the credit cards for?

Anothernamechange1235 · 06/10/2022 20:12

If your name is on this mortgage ring up, go into the branch or sign up to online banking and get hold of the statements yourself and see what financial arrangements you have agreed to.

Viviennethebeautiful · 06/10/2022 20:12

Oh god. I was in your shoes.
The amount left to pay never seemed to go down.
Both earned a lot so it was ridiculous.
He had a ridiculous number of high value items (bargains , not)
No statements.
Did throw him out
Didn’t prosecute him as I didn’t want DC to have a dad with a record.

Your DP is almost certainly, like my EXH.

get rid

7 years later I have a good life xx