Millie Medakovic, 38, from Worcester, began using Sprive in February 2024 after taking out a £114,000 mortgage on his own
Paying off your mortgage is a huge moment – and one man says he is on track to finish his home loan 13 years early and save £50,000 in interest.
Millie Medakovic, 38, from Worcester, began using Sprive in February 2024 after taking out a £114,000 mortgage on a 35-year term. Sprive is a money management app that helps people make overpayments on their mortgage in a couple of different ways.
The app can monitor your spending, to show you how much you can afford to pay extra on your mortgage each month, and you can also purchase gift cards with certain retailers to get a percentage cashback that can go towards overpayments.
You can set minimum and maximum payment limits, to avoid being hit with early repayment charges.
Most lenders let you overpay by around 10% of your outstanding balance per year without incurring any fees, but this does vary, so make sure you read through your mortgage paperwork carefully.
Millie has already paid off around £1,800 extra on his mortgage through regular overpayments and consistent use of Sprive cashback, and has a long-term goal of shaving at least £10,000 extra off his home loan over the next ten years.
If he stays on track, he estimates he could save more than £50,000 in interest and cut 13 years and three months off his mortgage term.
Millie anticipates he will spend a little more through Sprive over the next couple of months with Black Friday and Christmas coming up.
Millie said: “I currently use it whenever I do my food shopping and with Black Friday and Christmas coming up, I’ll be using this more over the months ahead.
“I’m currently on track to save more than £50,000 in interest and cut my mortgage term by over 13 years. To date, using Sprive, I’ve already overpaid around £1,800.”
Sprive is free to use and works with lenders such as HSBC, Lloyds, Barclays, Santander, RBS, Virgin Money, Halifax, NatWest, Yorkshire Building Society, Accord Mortgages and TSB Bank. It is regulated by the Financial Conduct Authority (FCA).
But overpaying on a mortgage isn’t always the right thing for everyone. Sarah Coles, head of personal finance at Hargreaves Lansdown, said it is something to consider only if you are in a good place with your finances.
She told the Mirror: “If you have protection in place, have paid down any short-term expensive debts, and have enough emergency savings, then you might consider it.
“However, you also need to certain you’re on track with your pension, and to consider whether you should be investing instead. It’s not a question of having some spare cash and assuming the mortgage is the right home for it.”
She continued: “It also comes down to your own circumstances. If your mortgage is a huge burden, and is keeping you up at night, then paying the mortgage down will be a higher priority than for someone who feels their debt is more manageable.
“It’s also a question of certainty. Some people are prepared to miss out on the potential financial advantages of investment because they don’t want to take investment risk when it comes to paying off their mortgage.”