Getting a new mortgage to consolidate your debts can be a good way to get your finances back on track. In this guide we’ll cover:
- How we helped a customer to save money every month with a debt consolidation mortgage – even with poor credit history!
- A little about the remortgage process with us – it’s easier than you might think
- How we could help you – including why it’s best to go through a mortgage broker
How we helped with a debt consolidation mortgages
With Clever Mortgages, Mr C was able to:
Reduce his mortgage term Cut the interest rate Save overall £124.42 per month.
| Balance | Payment | Rate | Product | Term | |
|---|---|---|---|---|---|
| Current Mortgage | £75,263 | £635.92 | 2.29% | 2 Year Fixed Rate | 10 Years 9 Months |
| Current Secured Loan | £48,169 | £637.59 | 8.68% | Variable | 10 years 9 months |
| New Mortgage | £123,435 | £1149.09 | 2.24% | 5 Year Fixed | 10 Years |
Mr C had been with his lender for a fixed rate period, and knew he might be able to save money every month if he consolidated a secured loan he had, with a new mortgage.
His current rate was at 2.29%, which is similar to the new mortgage, but the key was to incorporate in the secured loan which was on a much more costly rate. We were also able to reduce the term by 9 months and saved £124.42 per month.
What are the benefits of remortgaging for debt consolidation?
A remortgage is when you take out another mortgage on your home to replace your current mortgage– and we can help you with this, taking all the hassle away from the remortgaging process.
It’s sometimes possible to secure a lower rate, giving you the opportunity to consolidate your debts, whilst saving yourself money every month. Debt consolidation can be a good solution for some mortgage customers – however, it’s not suitable for everyone.
You should always review the total amount payable through consolidation, not just the immediate savings in terms of a reduced monthly payment. Please be aware that any unsecured debts consolidated within the mortgage, would then be secured against your property.
We’ve helped 1000s of customers to remortgage – and bring their monthly payments down.
Want to remortgage with bad credit?
Worried about bad credit? We work with customers every day who have bad credit but want to remortgage – and we always do what we can to help.
Remortgaging could be easier than you might think – especially when you choose a broker who knows how to get you with the right lender to save you money.
Enquire with us about a remortgage with us, and we could:
A debt consolidation mortgage can help you save money every month – we recently helped Mr C who was nearing the end of his fixed rate deal, to consolidate his secured loan and mortgage into one monthly repayment reduce the mortgage term and save money.
Help get you back on track – being able to consolidate Mr C’s secured loan with a mortgage product meant only having to plan for one monthly payment instead of two, making the overall debt much easier to stay on top of.
Reduce the term of your mortgage – we can often help customers cut years off their mortgage – helping them to become mortgage free far sooner than they thought.
Why should I use a mortgage broker?
You’re likely to only have to do one application – this will save you time, and more applications from being recorded on your credit file
Some mortgages especially for people with bad credit are only available if you go through a mortgage broker
Brokers can advise on what would improve your chances – e.g. finding a guarantor or opting for a joint mortgage
They can take the hassle of application forms away – talking you through every step, and asking all the right questions
What next?
If you are looking for expert advice on remortgaging your property, contact our team today. We will be happy to help advise you on what you on your options.
We are experts in offering solutions to people with bad credit and can help you if you need a helping hand with your next move.
Get a call from a mortgage advisor at a time to suit you
