Anyone in the same boat?...mortgages....?

Question

hey me n my bf got a £130000 100% mortgage and its up for renewal in a year, were really worried as obv we would of old paid about £3000 capital off, just wondering what we do?shall we save as much as possible?cause well have to get a 95% mortgage or go variable...i really dont understand variable however much i read about it lol!just want some advice

thanks in advance

x

Answer 1

Refinance to a fixed rate if at all possible then you won't have to worry about your payments changing. Make sure from now on you understand any contracts and terms before you sign the papers! Variable rates can change and if that extra isn't in your budget, you will be in sad shape!

Answer 2

I would get my oar in first by going to a bank/building society and asking for an appointment with the manager, explaining your problem and asking  if taking out a regular savings plan with that BS would that cause them to look kindly upon you in a years time. He/She will almost certainly look upon this as a chance to open a new account. Confirm in writing the substance of your conversation,keep a copy, and make small regular payments in to the account. My attitude is where possible retaliate first.

Answer 3

I'm currently on a 2 year tracker (no application fee), and the interest rate at the moment is cheaper than most fixed rates especially with a £1500 "application fee" which is actually buying protection.  

Next year my 2 year tracker will expire and I don't want the standard variable so I will be changing and will avoid the application fees.

Answer 4

with the country more than likely going into recession, interest rates will most likely rise so a fixed rate is probally best, and that way you know exactly what to budget. Always try and save as much as possible so you don't have to borrow as much.

Answer 5

Variable rate mortgages change often, possibly every month.  Stay away from that if you can.

Answer 6

I would aim to save as much as possible, even through using cashback sites on the internet.

For instance Topcashback and Quidco

Or even My Home Page Friends