possible to prepay mortgage for a year?

jigsaw

Registered User
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Hey guys, i just have a quick question. I am just wondering if its possible for me to prepay my mortgage for 1 year. here what i would like to do.

Send the bank a cheque for the amount of 1 years mortgage and have a payment holiday for the duration of that 1 year with no payments being deducted from my account.

Im aware i can make a lump sum repayment and reduce either the term or the debt but i would prefer what i have outlined above.

Is it possible? Im with ulsterbank by the way

I will ring them monday to find out but just thought id s
start this thread to see if anyone knows if its possible.

Cheers
 
You could deposit the year's payment into a savings account and then withdraw the monthly amounts every month to make the payments.

Obviously, this isn't quite as efficent as making a lump sum payment up-front.
 
You could deposit the year's payment into a savings account and then withdraw the monthly amounts every month to make the payments.

Obviously, this isn't quite as efficent as making a lump sum payment up-front.

Make it a Direct debit going from the savings account into your mortgage account and it's pretty efficient....you wouldn't need to do anything. Plus you earn the interest on the mortgage money in the savings account during the year.
 
If you pay a year's money into the account and stop the direct debit, they should treat it as advance payments - the opposite to arrears. They should also be delighted to get the money.

This assumes you are on a variable rate mortgage and not a fixed.

Brendan
 
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