When is first mortgage payment due?

[RigaBalsam]

If we are to complete on 11th June and would like the 1st as a payment date. Does that mean 1st July will be the mortgage payment say £750 plus interest?

Just trying to work out funds.

[Hallyup6]

If I can recall correctly they'll add the amount due from the 11th to the end of the month onto the next full month's payment, so you'll have to pay a higher amount for the first payment, then it'll revert to your usual monthly payments.

[Findahouse21]

Yes, as pp says if you choose the 1st as your payment date, then the first payment will be 50 days worth of mortgage plus interest so quite a big payment

[Moonshine11]

As above you’ll pay basically a month and half on the 1st payment, then will go to your normal monthly amount after that.

[RigaBalsam]

Ah great thanks. So my payment will be due 1st August not July?

[GettingItOutThere]

no july.

its a month in advance not arrears

so, your interest will be added up from the 11th june until the 1st july.
then 1st july you will pay for july's mortgage + interest from the 11th june

1st august is a normal month. Always in advance

[RigaBalsam]

@GettingItOutThere

no july.

its a month in advance not arrears

so, your interest will be added up from the 11th june until the 1st july.
then 1st july you will pay for july's mortgage + interest from the 11th june

1st august is a normal month. Always in advance

Thank you

[AppleStars]

We just bought our first house this year, we completed on 12th Feb and our first mortgage payment was 1st March and was about 1.5 x the usual payment, then every further payment has been on or about 1st of each month - Halifax. I actually don't recall asking for it to be the first of the month, I just took that as being a default, but maybe our mortgage broker did that on our behalf as that was roughly when we paid our rent.

[Yellow85]

Usually the 1st July payment would be:

Full monthly payment
Plus
Pro-rata payment for 11th-30th June

So just over 1.5 months. Then normal from August.

[LegoCaltrops]

You’ll probably get a letter when you complete to confirm what your initial payment will be & when.

[RigaBalsam]

Thanks all. Helps so I can budget.

[RigaBalsam]

Hello all again.

So one thing or another our house completion has been delayed now we are due to complete on 1st July.? So will we pay a normal mortgage payment on 1st August?

[Dinosaurdrip]

I would assume, from what pp have said that in this instance you will pay 2x ie July and Aug on 1st Aug.

[PrincessConsuela12]

We completed on 10th May, our first mortgage payment was taken on 28th May, it was around £200 less than we'll be paying going forward

[Putdownthecake]

I completed end of August and didn't pay any payment until October and it was just my normal monthly mortgage amount. I rang the bank to query in August as I was worried that something had gone wrong (natwest). They said they don't take the first one to help customers find their feet (obviously its added on the end) . It was a massive help to me at the time. Easiest thing to do is ring whoever your mortgage is with and check

[RigaBalsam]

Thanks it does seem to vary from reading this thread.

[CrimsonImp]

I completed end of August and didn't pay any payment until October and it was just my normal monthly mortgage amount. I rang the bank to query in August as I was worried that something had gone wrong (natwest). They said they don't take the first one to help customers find their feet (obviously its added on the end)

That was similar to our experience with NatWest, completed 6 August, 1st payment in September of normal amount. Would have been nice to know in advance as we'd had a longer than normal delay between exchange and completion to allow for notice on our rental property so we weren't paying for both at the same time.

[Turmerictolly]

Just call the mortgage provider. They'll let you know.

[RigaBalsam]

@Turmerictolly

Just call the mortgage provider. They'll let you know.

Thanks they said this. Just wish there was a calculator as not sure how the interest will work.

Your customer's first payment will always be at least one month after completion.
If the preferred payment date falls on the day of completion e.g. complete on 25th and chosen payment date is 25th, the first payment will be made exactly one month after completion. This is then repeated each month, and will be for the normal monthly payment amount.
If the preferred payment date doesn’t fall on the day of completion e.g. complete on 2nd and chosen payment date is 25th, the first payment will be made on the chosen date after a full month has passed. In this instance, the first payment amount will cover the interest charged in the month of completion, plus one normal monthly payment. The normal payment amount will be repeated each month thereaft

[Beeeeeeeeeeeeeep]

You don't pay a month in advance on a mortgage do you? The date of completion is when the loan starts, and your first payment is the month after that. You wouldn't pay a loan repayment in the same month the loan is taken out.
I think I have that right - so if you complete on 1st July your first payment is 1st august.

[RigaBalsam]

@Beeeeeeeeeeeeeep

You don't pay a month in advance on a mortgage do you? The date of completion is when the loan starts, and your first payment is the month after that. You wouldn't pay a loan repayment in the same month the loan is taken out.
I think I have that right - so if you complete on 1st July your first payment is 1st august.

Thanks but if I had completed yesterday ( another story) would I pay 1st July as po have said up thread or a larger payment 1st Aug?

[Beeeeeeeeeeeeeep]

I think you'd pay the larger payment on 1st august

[RigaBalsam]

@Beeeeeeeeeeeeeep

I think you'd pay the larger payment on 1st august

Thanks that's what I thought but pp had said different.
I will find out soon enough I hope.

[Moonshine11]

You should have info on how much interest your paying on your breakdown. It’ll be a months interest.
So is it not your monthly payment the minus the interest rate and you’ll be able to work out how much interest your paying for the month?

[AllThatFancyPaintsAsFair]

Don't worry about what posters say, your mortgage provider has given you a clear explanation so that's what will happen.