Save Money On Your Remortgage
When you remortgage, you are switching your mortgage to another lender. Remortgages can be used for various reasons. However, most people simply switch mortgages because it will work out cheaper for them.
For example, the introductory discounted interest rate may have finished with your current lender which then reverts to the lenders SVR (Standard Variable Rate), which is often more expensive. Therefore, you could potentially get a new discount rate or a lower rate with another lender.
You may want to remortgage to raise funds to complete home improvements such as a new loft or extension. Another example is when you may need to remortgage to consolidate debts. It is worth noting that a remortgage is not the best option in all cases.
You can look 6 months before your current mortgage deal comes to an end and secure a rate with another lender. That way you avoid going onto the existing lenders’ standard variable rate. Some lenders will also offer incentives to attract new customers such as free legal, valuation and even cashback. As impartial advisers we can source mortgages from across the market, including specialist lenders and products that are not available on the high street, to source the most suitable mortgage for you.
Debt consolidation is not always the most suitable option, consolidating debts must be carefully considered. It will usually mean more interest over a longer repayment term and there may also be early repayment penalties on your current mortgage. You should think carefully before securing other debts against your home. There are other ways to manage debt such as free debt advice charities, you can find out more by contacting the Money Advice Service http://www.moneyadviceservice.org.uk/en/articles/where-to-go-to-get-free-debt-advice these services may be more suitable for you.