New cashback website will pay off your mortgage when you shop online

Applying for a mortgage is likely to be one of the biggest financial commitments you'll ever make – and paying it off can take a lifetime.

But there could be a way to help ease the pain – in the form of a new cashback website designed to help you repay it sooner.

Website Accelerate My Mortgage (AMM) can help you raise the money to pay off your mortgage quicker when you shop online.

It pays cashback when you shop at your favourite retailers – and once you reach £50, the money automatically goes to your mortgage lender.

Using the same principle as cashback websites such as Quidco and TopCashback, AMM has partnered up with 45 retailers so far including Pizza Express and Wilko.

We've got a full guide on how cashback websites work – and how to use them to your advantage, here.

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Homeowners can do their shopping through the website, and every penny earned as cashback will then go towards their loan.

Cashback rates currently on offer include £10 at Vodafone for new customers. It's also offering 15% at Topman – meaning if you spent £50 in a month, you'd get £7.50 back.

This means you could reduce your outstanding mortgage balance by an extra £90 in a year, but you'd also save money on interest.

But before you sign up to the deal, check your mortgage terms and conditions – most lenders will allow you to overpay by up to 10% a year before charging you a penalty.

Once you've built up £50, AMM will then automatically transfer the money to your provider.

If you've exceeded your overpayment limit, the money will be sent to your bank account instead.

To sign up for the cashback rewards, you need to create an account on the Accelerate My Mortgage website.

But remember, only use it to buy items you were going to buy anyway, as otherwise you could be spending for the sake of it.

Once registered, you'll have to upload information about your mortgage – including when your deal expires – online.

Speaking on the initiative, Andrew Hagger of Moneycomms, said: "Paying extra money off your mortgage is a smart move as it cuts your interest bill and reduces the term of your mortgage.

"However, buying from a limited number of retailers means you may not be getting the best deal on your purchase – so you could potentially get a better deal if you looked at the whole retail market and save more than the cashback you're being offered."

We've got a full guide on mortgage overpayments, and how it works, here.

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