Free re-mortgage advice
Free re-mortgage advice available from Access Debt Solutions. With so many lenders offering re-mortgages, how will you know which one is the most suitable?
There are many re-mortgage products on offer in the market from fixed interest rate, interest rate tracker, discounted rate to interest only.
What do I need to know?
- Discounted variable rate:
The rate of interest is held below the standard variable rate for a set period. - Fixed Rate:
The rate of interest is set for a set term. The longer the term of the fix the higher the rate is likely to be. At the end of the fix, the mortgage reverts to the standard variable rate. - Capped Rate:
A variable rate mortgage with a ceiling on the rate for a fixed period, typically two or three years. The borrower is protected against a sharp increase in rates but benefits from any fall. At the end of the capping period, the loan reverts to the standard variable rate. - Drop-lock:
A variable rate mortgage (usually discounted or a tracker for a set period) with an option to change to a fixed rate for the balance of the term without penalty. - Current Account / Offset Mortgage:
With a current account mortgage, the borrower only pays interest on the difference between the outstanding mortgage and the balance held on the current account. The bigger the current account balance, the more the borrower is protected against a rate rise.
On a full offset version, cash held in current and savings accounts is aggregated and set against mortgage, personal loan and credit card balances.
A Current Account / Offset Mortgage can deliver tax-efficiencies to borrowers with capital sufficient to cover the mortgage. In a conventional banking arrangement where credit and debt balances are handled separately, the mortgager pays income tax on interest earned on savings. Under a Current Account/Offset Mortgage arrangement, credit balances effectively earn the equivalent of the mortgage rate, but there is no tax to pay because the credit interest is not actually paid over. - Flexible:
A mortgage that allows the borrower to overpay or underpay (within limits) without penalty. When interest rates are low, the borrower can pay above the asking rate to build up a reserve that can be used to underpay when rates rise, essentially “smoothing” out mortgage payments over the interest rate cycle.
In today’s market raising cash for home improvement, adaptation and enlargement is often cheaper than moving house. However, re-mortgaging for purposes of excessive personal consumption should always be avoided.
We can help you raise additional cash at the most competitive interest rates which your own personal circumstances will allow.
THINK CAREFULLY BEFORE SECURING DEBT AGAINST YOUR HOME. YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Take the next step for free re-mortgage advice and complete our loan application form or telephone Access Debt Solutions direct on 0114 244 6200.
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