Second mortgage advice please

Zoetoes

Friend has a 45k Halifax repayment mortgage outstanding on a 135k property. Monthly payment of 290 inc insurances. Combined salaries of 38.5k

She wants an 80k second mortgage with a new lender to be used primarily to consolidate all existing unsecured loans/credit cards (approx 50k)

currently repaying 750 a month to unsecured debts and would be looking to pay approx 500 a month on a second mortgage.

Any advice appreciated, thank you!

homer_j_3

I would recommend that your friend speak to a broker to disuss all the options. If they do not want to do that then could you tell us if your friend has spoken to halifax regarding borrowing more or are there any early repayment charges on the halifax product.

2nd charge loans, which what it would be, can be very uncompetetive and need the agreement of the 1st charge (halifax in your case). I would look at this as a last option if I was being honest.

regularsaver1

Halifax do further advances which may work out beneficial - but debt consolidation is a subject she should get advice on - so as homer-j says she should look at her options

and if she did one mortgage or f.advance she wouls have one payment.