Debt Free by 40 Debt Diary

ZTD

oakdale_minx wrote: »

I did start to have stupid thoughts about changing mortgage companies and adding the loan in, but as I say that is a stupid thought.

It is not a bad thought iff (if and only if - must stop using maths jargon...:whistle:)

• You can control yourself enough as to not see any excess money from the mortgage as "free money"
• You can overpay the mortgage without penalty
• You can afford the extra payments
• You can afford the extra payments *after* the teaser rate ends
• You are disciplined enough to plow your AQA and loan money into your morgage as well as keep your mortgage payments at the same level - even though you know you don't need to.

Then it would be a good idea. But only you know yourself.

wyebird

Just wanted to say, that I have been reading your thread since I first came on here last month. When are you writing your book?
Good luck with everything, and thanks for the motivation!:beer:

supersavershal

wyebird wrote: »

Just wanted to say, that I have been reading your thread since I first came on here last month. When are you writing your book?
Good luck with everything, and thanks for the motivation!:beer:

I totally agree about the book, i am hooked and switch on every day.this diary makes me sad, it makes me laugh, and i cant wait for the next installment.Please think about getting it published if we all tune in every day how many other people who dont come on mse site would be fighting to read it.Could be a best seller, look at how well Bridget Jones Diary did.Your onto a winner Oakdale! GET IT PUBLISHED...IV TOLD ALL MY FRIENDS TO LOG ON , YOUR STORY IS AN INSPIRATION

gallygirl

As your debt is secured anyway and you are determined to OP as much as possible it's an option. The alternative would be to (gulp, frightened about suggesting this........) increase the term of your loan back to its' original term - this would free up the £100 extra presumably to get the best mortgage deals? Then once it's gone through you could reduce again.

Good luck with hatchet features!

oakdale_minx

well, First Active called and they have said they will send me an application pack. I pass on the multiples, the loan to value amount (apparently what I want is a 'small' mortgage??!!!!!) but the only tiny problem is the CCJ.

It's 5 years old, satisfied and for only £592. It seems a bit mad that it holds me back and nothing else does. I don't even need my AQA money as I pass with just my main salary.

I have to do the form, send 3 bank statements/utility bill/1 pay slip and apparently the underwriter will assess it from there.

I've also asked about whether the loan being added in is a possibility and if not having it as an outgoing makes the application any easier to go through. She said it is an option I can consider, so I will think about it as there is also the option to over pay by 10% which I will do at the same time as pay the mortgage if it gets approved.

I don't know if getting to the 'send bankstatements' etc is a good thing but at least they haven't said 'no' yet.

if I just transfer the mortgage, my payment would go down to £633 for the first 3 years and then back onto the variable, and if I include the loan it would be £780.

Yes, I can control myself now. My lifestyle has changed so much I find buying 'silly' stuff boring now. I still occasionally pop the shopping channels on and absolutely nothing interests me. The 'buzz' of finding a great deal for something I really need far outweighs the old feeling of just shopping for the sake of it.

I can't say I'm an angel - gourmet foods and that box of thorntons are testament to that - but if I can throw away the Hotel Chocolat Easter catalogue after just a cursory glance and a thought of 'nothing that amazing in there', then I reckon i'll be fine!

ZTD

oakdale_minx wrote: »

if I just transfer the mortgage, my payment would go down to £633 for the first 3 years and then back onto the variable, and if I include the loan it would be £780.

And what would both of them be on the variable?

oakdale_minx

By coincidence she has just called me back so I've asked her all the figures. It will be £633 on the fixed rate and £677 on the variable if I don't change deals after the 3 years if I just have the mortgage and it will be £747 on the fixed rate (not £780 which I thought she had said earlier) and £794 after the fixed rate ends if I add in the loan. The fixed rate is 5.69% and then 6.35% variable after that.

I know I can't get one of the best high street deals because of my past blots on my record, but I'm paying 8.03% now with GMAC and I just want to change asap now I can.

Any comments very welcome .

ZTD

What's the interest on your loan?
Are there any early repayment penalties (both loan and new mortgage)?
What are the fees?

oakdale_minx

Loan interest is 7.9%

Not sure of the early redemption fees on the loan, and First Active is 3% Year 1, 2% Year 2 and 1% Year 3. Then nothing after that.

No legal or valuation fees. There is a £499 arrangement fee which can be added if I want to.

No fees for moving from GMAC as long as it is after 13 May and I give 1 months notice

ZTD

How long have you had the loan?