Can't get a remotrgage

Patrick47_2

Hi all - First Time Poster

Please can someone give me some advice on remortgaging.

I applied to my existing lender for a remortgage only to be told that they were refusing my request after checking my credit rating. I am aware that I have a couple of defaults but was hoping that they would grant me the remortgage as I have not missed any mortgage payments in the last 5 years. Is this the norm or am I being unfairly treated.

I have approached another lender who have offered me a 3 year fixed rate @5.240%. Does this seem reasonable??.

The catch is that there are fees involved

Completion Fee £750

Redemption Fee £200

Insurance Fee £25

Brokers Fee £1000

This seems like an awful lot of fees - should I just forget about the remortgage or could I phone my existing lender in the hope of getting them to change their minds, pointing out that I have not missed a payment in atleast 5 years.

Any advice would be very much appreciated.

homer_j_3

To be honest the fees are not the worst I have seen but not the best either.

The interest rate is fairly similar in terms of there are better but there are worse.

Broker Fees - What does this represent 1% of the advance? I am not saying that you shouldnt pay the fees but you can probably get the advice cheaper if you feel that the other fees would be acceptable? You just need to find a fee free advisor.

herbiesjp

homer_j wrote:

To be honest the fees are not the worst I have seen but not the best either.

The interest rate is fairly similar in terms of there are better but there are worse.

Broker Fees - What does this represent 1% of the advance? I am not saying that you shouldnt pay the fees but you can probably get the advice cheaper if you feel that the other fees would be acceptable? You just need to find a fee free advisor.

Agree with Homer

Give your current lender another call, but if they refuse you will have to look elsewhere

fez_2

Many main stream lenders may not be prepared to look at you with defaults. Your existing lender however will have based the decision on a computer score from the credit reference agency.

A call to their underwriters (it would help to back up your case by also providing copies of your credit record, cost £2)would encourage a more human approach to their lending decision.