how do i work out the amounts i have overpaid on a higher mortgage interest?

[tifo]

does anyone know how i work out the difference in the money i am paying on the interest now (7%) and what i could have got had it not been for defaults (4.99%)?

that's 2.1% extra per month, so how do i work this out as a figure over 4 years?

i need this figure for court when i take action on a few DCA's who have wrongly issued defaults (including Lowell who have issued 4).

thanks.

[tbern123]

Originally Posted by tifo

does anyone know how i work out the difference in the money i am paying on the interest now (7%) and what i could have got had it not been for defaults (4.99%)?

that's 2.1% extra per month, so how do i work this out as a figure over 4 years?

i need this figure for court when i take action on a few DCA's who have wrongly issued defaults (including Lowell who have issued 4).

thanks.

I can do this for you when I get in tonight ........

is your mortgage interest only, repayment or part and part.

also need to know the balance. IS the interest rate, fixed, variable or a tracker.... excuse any mistakes I am doing this on my phone at work

[tbern123]

the simple way is to divide the balance of your mortgage by 100 and times that by the difference in interest.. that will give you the difference for one year. then just times that by 4.

I.e £70,000 mortgage / 100 = 700 x 2.1 = 1,470 x 4 = 5,880.

however without more info this will not be a true or exact figure

[tbern123]

Originally Posted by tbern123

the simple way is to divide the balance of your mortgage by 100 and times that by the difference in interest.. that will give you the difference for one year. then just times that by 4.

I.e £70,000 mortgage / 100 = 700 x 2.1 = 1,470 x 4 = 5,880.

however without more info this will not be a true or exact figure

sorry thinking about it, it is 2.01 not 2.1 i'll redo it when I get home

[tifo]

hi tbern,

thanks for the info ... its appreciated.

my mortgage is currently 6.75% with Abbey at £53,000 ish and is interest only at £304 pm (this has gone up by .25 last month but i start paying 7% from next month. I'm always 2 months behind for some reason, when the rate changes, it changes 2 months later for me.)

The lowest they've had it (i went in and asked) is 4.99% sometime during the last 3 years or so.

[tbern123]

Originally Posted by tifo

hi tbern,

thanks for the info ... its appreciated.

my mortgage is currently 6.75% with Abbey at £53,000 ish and is interest only at £304 pm (this has gone up by .25 last month but i start paying 7% from next month. I'm always 2 months behind for some reason, when the rate changes, it changes 2 months later for me.)

The lowest they've had it (i went in and asked) is 4.99% sometime during the last 3 years or so.

Your Current Mortgage

Balance:£53,000
Interest Rate: 6.75%
Repayment Type: Interest Only

£53,000 / 100 = 530
530 x 6.75 = £3,577.50
So over 12 months you £3,577.50
£3,577.50 / 12 = £298.12
Monthly Repaymet = £298.12

New Mortgage
Balance: £53,000
Interest Rate: 7%
£53,000 / 100 = 530
530 x 7 = £3,710.00
So over 12 months you will pay £3,710.00 (£132.50) more per year
£3710.00 / 12 = £309.16
New Monthly Payment = £309.16

£309.16 - £298.12 = £11.04 extra per month

Balance:£53,000
Interest Rate: 4.99%
Repayment Type: Interest Only

£53,000 / 100 = 530
530 x 4.99 £2,644.70
So over 12 months you £2,644.70 (extra £1,065.30 per year)
£2,644.70 / 12 = 220.39
Monthly Repaymet = £220.39

309.18 - 220.39 = extra £88.79 per month

Looking at the information, I guess you are on their standard variable rate. The reason the raise in your interest rate is two months late is because, when the Bank of England increases their rate, banks immediate increase their rates for NEW customers. Rates for exisiting customers, usually rise with in two months. This is partly because they have to give you notice of any changes.

Hope that helps...

[tifo]

thanks ... much appreciated for the great help ...

will keep you informed on my battle with Cabot / Kings Hill as well as the Lowell Group.

[tbern123]

No probs..


Good luck with Cabot

[tifo]

thanks tbern,

actually, been in today and told the rate has gone up to 7.34%!

lady did confirm (again) that it had been as low as 4.99 over the last few years.

so that's now a difference of 2.35% which equals £324 at 7.34% and £220 at 4.99% = £104 per month over.