Savers who are taking part in dry January could knock almost £13,000 off their mortgage term in interest, Santander has found.
The bank has stated that putting away the average price of 12 pints, valued at £4.81 according to the Office for National Statistics, could see them save £12,983 over the course of a 25-year mortgage of £200,000 at 4.5% interest.
As a result, the saver would be mortgage-free two years and one month earlier than planned.
It comes as Santander found that its customers collectively overpaid £2.2bn in mortgage payments in 2024.
For those drinking more, using the money for 30 pints in a month, totalling £144, could see them save £28,373 over the course of a 25-year mortgage, reducing the term by four years and eight months.
The bank highlighted that making additional payments of £10 a month towards their mortgage could save more than £2,490 in interest, shaving four months off of their mortgage term.
Head of intermediary channel – mortgages at Santander, Graham Sellar, said: "Whatever the reason for doing dry January, there’s an undisputable benefit to your bank account. It’s tempting to spend that extra cash, but for those able to put even a small proportion of it aside, starting a habit of overpaying on your mortgage could reap huge benefits in the long run."
Latest News
Perenna and the long-term fixed mortgage market
Content editor, Dan McGrath, spoke to head of product, proposition and distribution at Perenna, John Davison, to explore the long-term fixed mortgage market, the role that Perenna plays in this sector and the impact of the recent Autumn Budget
The role of the bridging market and technology usage in the industry
Content editor, Dan McGrath, sat down with chief operating officer at Black & White Bridging, Damien Druce, and head of development finance at Empire Global Finance, Pete Williams, to explore the role of the bridging sector, the role of AI across the industry and how the property market has fared in the Labour Government’s first year in office.
NEW BUILD IN FOCUS - NEW EPISODE OF THE MORTGAGE INSIDER PODCAST, OUT NOW
Figures from the National House-Building Council saw Q1 2025 register a 36% increase in new homes built across the UK compared with the same period last year, representing a striking development for the first-time buyer market. But with the higher cost of building, ongoing planning challenges and new and changing regulations, how sustainable is this growth? And what does it mean for brokers?
Does the North-South divide still exist in the UK housing market?
What do the most expensive parts of the country reveal about shifting demand? And why is the Manchester housing market now outperforming many southern counterparts?
In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance, to explore how regional trends are redefining the UK housing, mortgage and buy-to-let markets.
In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance, to explore how regional trends are redefining the UK housing, mortgage and buy-to-let markets.
© 2019 Perspective Publishing Privacy & Cookies
Recent Stories