A mother focused on saving money has shared her strategy to reduce her mortgage payments by £1,500. Neesha Craig, residing in Swansea, Wales, along with her husband and child, recently obtained £300 for her Samsung Galaxy S23 Ultra and utilized the funds for an extra payment on her mortgage.
According to a recent survey conducted by musicMagpie involving 2,000 adults, it was discovered that approximately 38% of Britons possess at least one unused smartphone, typically valued at around £250, stashed away in a drawer.
Neesha, who manages the financial website TheFunMoneyClub, emphasized the benefits of making mortgage overpayments. She highlighted that even a modest overpayment can significantly impact one’s financial situation. By trading in her old Samsung phone for £300 and directing the amount towards her mortgage, Neesha managed to reduce her mortgage term by two months, saving £1,510 in interest.
Overpaying on a mortgage involves making additional payments beyond the regular monthly dues. This approach helps in accelerating the mortgage payoff, resulting in lower overall interest expenses and potential savings of thousands of pounds while shortening the mortgage duration. However, it is advised to check with the mortgage provider as not all mortgages permit overpayments without additional charges.
Customers can now trade in their old smartphones at Timpson stores nationwide through a new partnership between musicMagpie and Timpson, facilitated by AO World. This collaboration offers a quicker and more convenient trade-in process, enabling customers to hand over their phones for assessment in-store and receive funds within minutes.