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.