Brokers said it was 'underused'02:22, 06 Jul 2026Mortgage brokers say too few borrowers take advantage of the ability to make overpayments on their mortgage, which can significantly reduce the long-term cost of what is most people's largest debt. One broker called the overpayment an "underused strategy", while a lender said "even modest overpayments can save an owner thousands over the life of the mortgage" — although brokers and lenders alike stress that overpayments may not be appropriate for everyone.Lenders typically allow borrowers to overpay up to 10% of their mortgage balance each year, although in some cases it can be as much as 20%. When people make overpayments, most lenders will give them the choice of having lower monthly repayments moving forward, or shorten the mortgage term.