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IO mortgage problem....help!

Hi there,

its been a long time since I last posted but I have a problem that Im hoping someone can help with.

We have an IO mortgage with 13 years left. We have nothing in place to clear the debt when the mortgage term is up. What do we do? Originally, Legal & General set us up with an endowment but after the initial meeting we heard nothing from them. Being 12 years younger back then and very naive, we just left it....and left it....and left it....

Even after the credit crunch the house is worth double what we paid for it so things arent as bleak as they could be - I just need to know what our options are.

We could go backl to the mortgage company and ask for their advice but it was Bradford & Bingley who are now Mortgage Express and they want to do everything over the phone...and there's this irrational feeling that they're going to say 'no endowment? out you go then'...

(I keep saying we but my name isnt on the mortgage, we treat it as though it is but its all in my partners name)

Can anyone help me out?

Cheers
Proud to be dealing with my debts

Total Debt May 08 : £13512

Comments

  • VIGILANT22
    VIGILANT22 Posts: 2,516 Forumite
    See a whole of market mortgage adviser and discuss repayment mortgages (if an endowment has been in place this would have included an element of life insurance) so maybe you ned to discuss this also.......
  • beecher2
    beecher2 Posts: 3,677 Forumite
    Tenth Anniversary 1,000 Posts Combo Breaker
    Can you afford to change it to a repayment mortgage? Why not go and see a mortgage adviser to see what your options are.
  • emlee
    emlee Posts: 7 Forumite
    Our credit is pretty sticky at the moment - Im worried that no-one will take us on to change the mortgage (if that makes sense)...
    Proud to be dealing with my debts

    Total Debt May 08 : £13512
  • VIGILANT22
    VIGILANT22 Posts: 2,516 Forumite
    You wont know unless you ask....
  • beecher2
    beecher2 Posts: 3,677 Forumite
    Tenth Anniversary 1,000 Posts Combo Breaker
    Are you able to overpay your mortgage? You could work out how much a repayment mortgage would cost, and overpay the difference.
  • emlee
    emlee Posts: 7 Forumite
    thats a good idea - we hadnt even thought of that! Its definitely something to look into....cheers.
    Proud to be dealing with my debts

    Total Debt May 08 : £13512
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Could you downsize in property value. To release equity and sort out your financial affairs?
  • emlee
    emlee Posts: 7 Forumite
    We're getting a valuation done with that in mind, just looking at some houses now as a matter of fact. I'll miss this one but I'd rather be debt free....
    Proud to be dealing with my debts

    Total Debt May 08 : £13512
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    emlee wrote: »
    We're getting a valuation done with that in mind, just looking at some houses now as a matter of fact. I'll miss this one but I'd rather be debt free....

    Home is home as that's what you make it. A house is just a house.
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