S
seller432
Guest
I got my house remortgaged last year and was just reviewing my mortgage statement. The details are:
Period: May06 - Dec 06 (9 months)
(A)Mortgage paid :€9251.54
(B)TRS :€1080.87
(C)Interest deducted :€8911.83
Net amount saved(A+B-C) :€1420.58
Avg monthly mortgage paid= 9251.54/9 i.e. €1156.45
Avg amount monthly saved = 1420.58/9 i.e. €177.55 (15% of each instalment)
I was shocked to understand that out of my entire monthly mortgage, only 15% went towards reducing the principal and rest all i.e. 85% was taken by the new bank.
However before remortgaging, the old bank used to put 40% towards principal and 60% towards interest. I am not sure if these details are actually informed to the customer before remortgaging. The only thing I was told was how much I can get after remortgaging, interest rates and monthly mortgage payments. Kindly put your feedback if this is a normal practice.
Period: May06 - Dec 06 (9 months)
(A)Mortgage paid :€9251.54
(B)TRS :€1080.87
(C)Interest deducted :€8911.83
Net amount saved(A+B-C) :€1420.58
Avg monthly mortgage paid= 9251.54/9 i.e. €1156.45
Avg amount monthly saved = 1420.58/9 i.e. €177.55 (15% of each instalment)
I was shocked to understand that out of my entire monthly mortgage, only 15% went towards reducing the principal and rest all i.e. 85% was taken by the new bank.
However before remortgaging, the old bank used to put 40% towards principal and 60% towards interest. I am not sure if these details are actually informed to the customer before remortgaging. The only thing I was told was how much I can get after remortgaging, interest rates and monthly mortgage payments. Kindly put your feedback if this is a normal practice.