I did something similar last month - just moved to lower fixed rate for 3 years with AIB. The break penalties arenāt huge when you do the sums although would be surprised if rates drop lower than they are. Didnāt think about overpaying actually- prob a good idea in hindsight as your discretionary spend elsewhere should be down notwithstanding Christmas.
If your mortgage was up to date they wouldnāt be buying it for much of a discount if anyā¦ Iād guess AIB or the likes would be the most likely purchaser for a performing loan book
Same answer as every time this question is ever askedā¦ Are you paying the maximum amount into both your pensions. That should be the priority
Maximum in terms of what we can afford? Or maximum in terms of what employers will match?
Fix it lad. The variable is a mugging off.
Max contributions you can afford and definitely the max the employer will match. Thatās double free money
Max in terms of what you get tax relief onā¦ Depends on age
Yeah Iām topping up what my employer matches with a few extra %. Havenāt looked at it in about 3 years Iād say.
What would that be in % terms or where can I find that out?
What age are you
Older than 35 and younger than 40
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Employers contribution is to be included in overall % isnāt it?
20% of your salary up to 115k salary
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It all makes financial sense but donāt cut your discretionary spending to nothing ladsā¦ Life has to be lived too.
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You need to move to the fixed rate and make overpayments if you wish, variable rates are a joke. You can make overpayments of up to 20% a year with ICS and Finance Ireland so anyone on a variable rate above 3% is doing themselves a disservice in truth.
KBC limit overpayments to 10% of the total outstanding at the point of fixing for the period involved.
So thatās 23k. Using that total, it means that youāre getting 23k deducted at source going straight to pension? Anything above that deducted from net? Iāve a mental block when it comes to understanding tax relief
The money is already being paid out every month and we can well afford it. But if I could be lobbing 200 a month off the principle or into a pension or into an account for the kids for the future rather than the back pockets of a bank then Iād be a mule not to
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Lease another mare
āWhat do you mean Mrs Mac? I told you we always had 4 on the goā
Reminds me of this
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