Mortgage payments/terms.

[LolaLaLaLou]

I've been lucky enough to secure a promotion at work and would like to overpay on my mortgage with the additional income.

I've just checked the mortgage calculator on Halifax's website and it says if I pay the amount I want to, it will take 4 years off my mortgage.

Stupid question time - will this be 4 years off my entire remaining term of 20 years if I pay this extra money for that long or will this be 4 years off the remaining 4 years I have with them before my fixed rate expires? So in 4 years I'd have 12 years left instead of 16?

Off the entire remaining term of 20 years.

Yes 4 years off the whole mortgage term.
You will keep your fixed rate for the 4 years left.

Just be careful because you can usually only overpay your mortgage by 10% of the outstanding balance. More than that and you’ll get charged.

Depending on your rate you also may be better off putting some in savings accounts/a money market account as they are offering high rates currently.

You do need to phone the Halifax @LolaLaLaLou & talk to a person about your plans to overpay to be sure you understand all the details