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  • "You can overpay up to 10% of your fixed rate loan amount each calendar year (January to December) without paying an early repayment charge."

    Is that 10% of the balance at the start of the year or 10% of the original loan amount?

    i.e. if it was an interest only mortgage, could I pay it back in 10 years by overpaying 10% of the original loan amount each year and avoid early repayment charges?

    (Santander interest-only mortgage FWIW. Guess I'll have to ring them to be sure, no huge rush, current fixed deal runs out in October 2018 although they tend to offer a new deal 3 months early. Jumping to another 5 year fix at 1.79% would be nice before there's another base rate hike.)

    I'm hoping it's 10% per year of the original loan amount otherwise in a few years my overpayments will mean I'll be paying back more than 10% of the outstanding loan amount a year.

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