I have a tracker mortgage with Pepper Finance.
It currently stands at approx €210,000 with 222 payments remaining. Current repayment is €1,001 per month (€97 of which is interest, per Pepper)
The tracker rate is .50% above ECB so my interest is .55%.
I was recently left money and am considering paying €60k off the the mortgage. Another option I considered for the savings is to put it into a State Saving Account for 10 yrs which will deliver 25% interest on the €60k if the savings stay in place for the 10 yrs.
Can anybody tell me if I'm missing any details in my choices which I see as:
1. Pay €60k off €210k and have a reduced monthly repayment of approx €713 for the remaining 222 payments.
2. Pay €60k off €210k and reduce the term to approx 145 payments (according to Pepper).
3. Do neither of the above and put the money into the 10 yr State Savings option for 25% interest.
I'm not going to get another chance at making such a difference to my mortgage or savings. Can anybody see if any 1 option stands out as better then the others. (1 and 2 look the same to me).
Many thanks
It currently stands at approx €210,000 with 222 payments remaining. Current repayment is €1,001 per month (€97 of which is interest, per Pepper)
The tracker rate is .50% above ECB so my interest is .55%.
I was recently left money and am considering paying €60k off the the mortgage. Another option I considered for the savings is to put it into a State Saving Account for 10 yrs which will deliver 25% interest on the €60k if the savings stay in place for the 10 yrs.
Can anybody tell me if I'm missing any details in my choices which I see as:
1. Pay €60k off €210k and have a reduced monthly repayment of approx €713 for the remaining 222 payments.
2. Pay €60k off €210k and reduce the term to approx 145 payments (according to Pepper).
3. Do neither of the above and put the money into the 10 yr State Savings option for 25% interest.
I'm not going to get another chance at making such a difference to my mortgage or savings. Can anybody see if any 1 option stands out as better then the others. (1 and 2 look the same to me).
Many thanks