I have a 3000 lump sum that I want to pay off my mortgage. I have a flexible mortgage that allows me to overpay every month up to 500 (Nationwide) which I already do. I am wondering if I would save more by overpaying with the lump sum now and paying the 309 early repayment charge than I would be by waiting until July 2006 when my fixed rate deal ends and I could pay the 3000 off with no repayment charge.
Basically assuming I go for the same fixed term rate in July, am I going to save more than 309 in the long run by paying it now and accepting the charge or should I wait until July?