How soon can I take out a loan after remortgage
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Hi, looking for advice on the above.
I have just changed my mortgage deal with the original lender, our house has increased in value significantly due to an extension so we moved into a new LTV bracket meaning a far better interest rate that has significantly reduced our payments.
The mortgage is in my name solely, however my husband and I have approximately 6k on credit cards left over from expenses associated to the extension. The interest free periods are coming to an end. I am wondering if it would be wise/ possible for me to take out a loan with my bank to pay off these cards as I could get it at a much lower rate. We like the idea of these cards being combined to one monthly payment. I know that people are generally against consolidation but we intend to make significant overpayments and have it gone within 6 months but will save ourselves money on the high interest charges in the cards. We're very disciplined and have paid off 12k of the extensions costs in cash in less than a year.
Will it affect my mortgage that's just been put in place if I apply? The new payments have already been started.
I have just changed my mortgage deal with the original lender, our house has increased in value significantly due to an extension so we moved into a new LTV bracket meaning a far better interest rate that has significantly reduced our payments.
The mortgage is in my name solely, however my husband and I have approximately 6k on credit cards left over from expenses associated to the extension. The interest free periods are coming to an end. I am wondering if it would be wise/ possible for me to take out a loan with my bank to pay off these cards as I could get it at a much lower rate. We like the idea of these cards being combined to one monthly payment. I know that people are generally against consolidation but we intend to make significant overpayments and have it gone within 6 months but will save ourselves money on the high interest charges in the cards. We're very disciplined and have paid off 12k of the extensions costs in cash in less than a year.
Will it affect my mortgage that's just been put in place if I apply? The new payments have already been started.
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Comments
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You've got your remortgage through so you can apply for a loan straight away. Might I suggest a 0% on balance transfer credit card if you're going to pay it off in such a short period of time. A loan will commit you to making the repayments whether you have the savings or not and there is usually an interest penalty (such as 30 days) on any overpayments made.Hi, looking for advice on the above.
I have just changed my mortgage deal with the original lender, our house has increased in value significantly due to an extension so we moved into a new LTV bracket meaning a far better interest rate that has significantly reduced our payments.
The mortgage is in my name solely, however my husband and I have approximately 6k on credit cards left over from expenses associated to the extension. The interest free periods are coming to an end. I am wondering if it would be wise/ possible for me to take out a loan with my bank to pay off these cards as I could get it at a much lower rate. We like the idea of these cards being combined to one monthly payment. I know that people are generally against consolidation but we intend to make significant overpayments and have it gone within 6 months but will save ourselves money on the high interest charges in the cards. We're very disciplined and have paid off 12k of the extensions costs in cash in less than a year.
Will it affect my mortgage that's just been put in place if I apply? The new payments have already been started.:footie:
Regular savers earn 6% interest (HSBC, First Direct, M&S) Loans cost 2.9% per year (Nationwide) = FREE money. 0 -
Thanks for the reply. I may look into 0% card too. The bank loan is flexible so I could make unlimited overpayments, I appreciate that it will still cost me more than a zero % card but will save me money on balance transfer fees. The other point is that we'd need two zero % cards as one card is in my husband's name and one in mine.0
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You wouldn't necessarily need two cards, and the best deal is for 40 months at the moment, which makes considering a 0% card seriously tempting.💙💛 💔0
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