One potential reason for remortgaging is to take out additional borrowing on a mortgage to consolidate debt. At Clever Mortgages, we’re experts in helping customers find the right remortgage solution, based on their individual situation, alongside the goals they wish to achieve.
In this guide we focus on a customer who wanted to take out additional borrowing on mortgage to help consolidate their debts. We’ll cover:
- How we helped our customer with getting a mortgage product that allowed
additional borrowing – so that he could consolidate debt, and just have one
manageable monthly payment - Getting him a lower rate on his mortgage, and one that was far better than that on his secured loan, meaning what he had to pay out each month was significantly reduced
- How we consolidated his loans with his additional borrowing on the mortgage, to make his payments more manageable
Additional borrowing on mortgage
With Clever Mortgages, we were able to help Mr P with:
- Bringing down his mortgage rate – we found a mortgage with a trusted lender that reduced his mortgage rate
- Consolidating his other debts within his mortgage – meaning his monthly overall repayments were £512 lower
- Keeping his mortgage term the same – Mr P was able to achieve all this whilst keeping his mortgage term at 22 years. Meaning the £512 per month saving made no difference to the term at all
| Balance | Payment | Rate | Term | |
|---|---|---|---|---|
| Previous Mortgage | £95,279 | £526 | 2.53% | 22 years |
| Previous Secured Loan | £43,470 | £472 | 8% | 15 Years |
| Previous Unsecured Loan | £5,828 | £164 | 3 Years | |
| New Mortgage | £147,079 | £650 | 1.45% | 22 Years |
Completed 21/03/2019
Our client came to with the aim of consolidating his mortgage with a secured loan he was paying for each month (with an 8% interest rate). At Clever Mortgages our experts always look at each case individually, with the aim of finding the best solution – and achieving each customer’s goals.
We were delighted to be able to take the hassle away from the remortgage process for Mr P: He just had to tell us some details about himself and his financial situation, and discuss the goals he had for his remortgage. We were able to find him a low fixed rate of 1.45%, making a real impact to his monthly repayments: lowering them from £1,162 to £650 – meaning his saving was an impressive £512 each month!
We’ve helped 1000s of customers, with finding a remortgage solution that best suits them.
We help customers achieve their remortgage goals, and we know the best lenders and products to look to for each individual situation.
We could give you the best chance of getting on a great remortgage deal, even if you’re:
Needing a mortgage after an IVA
Looking to remortgage with a Debt Management Plan
Worried about other defaults on your credit file
After a bad credit self-employed mortgage
Enquire with us about getting a remortgage with bad credit, and we could:
- Search for the right deal for you, even if you’ve got a poor credit history – many of the customers we help have found themselves in a bad credit situation, and might have been on a Debt Management Plan or in an IVA.
- Discuss with you the different options available for meeting your specific goals – we can discuss your individual goals for remortgaging with you, and take the hassle away from the remortgage situation.
- Make sure your application goes to the best lenders for you – not all lenders offer mortgages to people with a bad credit history, but we know which ones are most likely to say “yes”, and to give you a good rate when they do.
Why should I use a mortgage broker for my remortgage?
- 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
- Brokers can advise on what would improve your chances for achieving a specific mortgage goal – 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 getting a remortgage with bad credit, contact our team today. We are experts in offering solutions to people with bad credit and can help if you need a hand with your next move.
Speak to a broker
Fran Jones
Fran is a specialist mortgage broker, whose been working for Clever Mortgages for 7 years and has over 8 and a half years’ experience in helping customers with bad credit.
Call us on: 0800 197 0504
