Mortgage Overpayment Calculator

Use our mortgage overpayment calculator to find out how much money you could save by overpaying on your mortgage and reducing the interest charged. Anyone can use this calculator, whether you are an existing Lloyds’ customer or you have your mortgage with another lender.

How does our mortgage overpayment calculator work?

To get started, simply enter your current mortgage details and then how much you’d like to overpay, either as regular monthly overpayments or as a lump sum. We’ll then show you how much you could save.

If you have an existing Lloyds interest only mortgageuse our interest only overpayment calculator.

If you have a Lloyds Bank mortgage and you’ve already signed up for Internet Banking,  we can show you a more personalised result. Log on to your account and select the 'Overpayments' button.

Not signed up for Internet Banking? Register now it only takes a few minutes to get set up.

Find out more information about overpaying on your mortgage and things to consider when using our mortgage overpayment calculator.

Things to consider:
  • This calculator only gives an example of what you could save
  • It won’t include any early repayment charges that might apply (or other fees, if you’re with another lender).
  • If you’re looking to reduce your mortgage term, speak to one of our mortgage advisors instead
  • We use the following assumptions in the calculations:

    • Based on a repayment mortgage
    • Any regular monthly overpayments remain the same over the term of the mortgage
    • All years are of equal length
    • Interest is calculated daily and added monthly
    • The mortgage balance shown on the graph and table are the same, and are the amount left on the mortgage at the end of that particular year
    • Multiple sub-accounts must be calculated individually
    • Estimate of total interest saved is rounded to the nearest pound
    • There is no change in interest rate which would recalculate your monthly payment
    • There will not be any changes to your mortgage which would result in a recalculation of your monthly payment e.g. changes to your mortgage product, term, type or change of owners

What is a mortgage overpayment?

A mortgage overpayment is when you make a bigger repayment than was agreed in the terms of your mortgage.

You might pay off a larger amount in one lump sum, or agree to increase your monthly repayments. You should always talk to your lender about overpaying on your mortgage.

Should you overpay on your mortgage?

It can be tempting to overpay on your mortgage if you can. But there are things you should think about before you do.

Overpaying could mean lower monthly payments. It might help you pay off your mortgage quicker. You also do not pay interest on your overpayments.

However, most lenders will only let you overpay by 10% each year.

You may be charged for overpaying more than your lender allows. This is called an early repayment charge. Check with your lender before you make an overpayment.

More things to consider

Overpayments will not always lower your mortgage term. When we work out your monthly payment, we will use the reduced balance to work out the new payment over your existing term. If you want to reduce your term, you will need to speak to one of our mortgage advisers to discuss your options.

It might be tempting to overpay by as much as you can. But if you overpay, you won’t be able to withdraw the extra money paid at a later date. It’s a good idea to keep savings aside in case of emergencies.

How much can I overpay on my mortgage?

Most lenders have limits on how much you can overpay. With our mortgages, the limit is 10%. If you overpay by more than 10% in a year, you might have to pay an early repayment charge.

Our advisers can help you decide whether to overpay or not. You can also contact our team if you are worried you might have overpaid already.

Lump Sum Overpayment

You can choose to overpay with one lump sum. These are not linked to your monthly payments. By paying off larger amount, you may lower your monthly repayments in the future.

Monthly Overpayments

You could also choose to increase your monthly repayments for a set period. You can overpay on your monthly amount whenever you like, so long as you do not pay more than the 10% limit each year.

You could lose your home if you don’t keep up your mortgage repayments

Important legal information

Lloyds Bank plc. Registered office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales No. 2065. Lloyds Bank plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278.

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