Repayment to Interest Only

shads1973

Hi,

Just registered, had a quick scan but couldnt find any particular answer/guide. I was looking to move my mortgage with SPML (Capstone) from a repayment to interest only in the short term, but was told that their policy is not to let customers change their mortgage type.

Is this generally the case that mortgage lenders can/do this? I had a 2 year fixed rate with them, which finished a year ago so Im on a variable rate and could move the mortgage, though there are other personal reasons at present Id like to avoid moving to another lender for at least another year.

arkie

What reasons are they stopping you moving to a different lender? If you are capstone's variable LIBOR rate you should be able to save money . Sorry to pry , just trying to help

shads1973

arkie wrote: »

What reasons are they stopping you moving to a different lender? If you are capstone's variable LIBOR rate you should be able to save money . Sorry to pry , just trying to help

Thanks for the response, probably didn't explain myself correctly. Captone aren't stopping me moving, im almost in the last year of an IVA, and with a 1% redemption on the current mortgage, I cant see myself really much better off changing (with the IVA complete I can then look at better options/equity release etc)...hence just wanted the current mortgage to run but just on an interest only basis (not a huge difference from repayment, so not life threatening, just the attitude that even though Im on a variable rate they wont let me switch to interest only, no wonder so many people are struggling with an attitude like that from lenders)