Every now and again something goes so right, that it is worthy of mention.
A client contacted us from an internet search, as he had been lying awake at night worrying about how he was going to pay his bills.
The family of four were plodding along quite nicely until a delightful (but unexpected) set of twins arrived, adding too much pressure to the family purse strings.
All of a sudden an extension to the family home was underway, along with an upgrade to the car and all the other expenses new additions bring. A year on and although his wife was returning to work part time, financially they were struggling to cope.
The Financial Conduct Authority (FCA) have strict rules about consolidating debts into client’s mortgages on the basis that if you default on your car loan, the finance company will come and reposes your car, but default on your mortgage and you may of course lose your home! We also need to be aware that “unsecured” lending is often short term and adding these bills to your mortgage can often mean you are paying for them forever!
But every now and again, it feels like the right thing to do. The car loan at £649 per month was on a 13% interest rate and the mortgage “further advance” to pay for the extension was at 11%. We consolidated these 2 loans and a rather large credit card bill into a new mortgage with NatWest at 2.35% for 2 years and hey presto, the family’s outgoings reduced by a staggering £989 per month.
Sensing we were about to solve his problem, the client provided every piece of possible paperwork a mortgage lender could ask for within 24 hours and despite huge backloads of cases at some lenders following changes to mortgage regulation, NatWest issued a full mortgage offer within 2 weeks.
The solicitor NatWest instructed to carry out the legal work got in touch on the same day the offer arrived and we are working towards completion next week. From start to finish the whole process took about 4 weeks.
I am happy to report that the only (2) thing(s) keeping this client awake at night are the twins!
Click here more information about Debt Consolidation Mortgages or contact a mortgage advisor on 01628 507477.
Recent posts
Decorating Tips for Selling Your Property
14 days ago
Selling up? It’s important to make your house as appealing as possible to potential buyers. Good decorating can help with first impressions, and increase the perceived value of your property.
20 Budget-Friendly Activities
25 Aug 2023
With the cost of living affecting so many of us, we have made a list of budget-friendly activities and ideas for you.
Moving and Packing Tips for a Stress-Free Move
21 Jul 2023
Moving soon? It's never too early to get organised! Be prepared and avoid unwanted stress by checking out our list of tips to get you ready for moving day.
What is the UK Inflation Rate?
27 Jun 2023
Inflation simply put, is the increase in the price of something over time. The Office for National Statistics (ONS) tracks the prices of hundreds of everyday items and these items are updated to reflect shopping trends.
Debt Consolidation into a Mortgage
20 Jun 2023
We are often asked if it's good advice to consolidate “unsecured” debt (credit cards and loans etc) into your mortgage, the answer is, sometimes.
Parking Rules Explained
16 Jun 2023
When you’re looking to buy a home, and you own a car, you ideally want to know the rules on parking in the area. Parking rules can be confusing, even for the most experienced of drivers! This is why we have written this blog to help you.
Sources of Deposit to Buy a Property
6 Jun 2023
There are several potential sources you can consider when it comes to getting together a deposit to buy a property. Providing proof of the source of your deposit is a key requirement in the application process and will need to be given to both the lender and the solicitor.
More information
Trusted by
