Advice on house move needed

timbo58

Wh05apk wrote: »

NO. Lenders take the actual amount of the loan repayments, and most take 3% of credit card balances.

You haven't stated the potential price of the property, it may be you could get an 85% mortgage and still take out some of your share to clear your debts, if so then it could be do-able, otherwise as others have said, you seem to be struggling with your curent outgoings, so do not increase them anymore.

ah thats interesting.
All of the brokers I spoke to (3) said 5% minimum.
how strange.

Thrugelmir

timbo58 wrote: »

ah thats interesting.
All of the brokers I spoke to (3) said 5% minimum.
how strange.

Credit card companies are increasing minimum monthly repayments.

Credit card company MBNA is increasing the minimum amount customers must repay each month, in a move that will help people become debt-free sooner, but will leave some facing a sizeable hike in repayments.

MBNA, which has about 5 million UK customers, said today that from 1 April it would be changing the way it calculates minimum monthly repayments. These will be set at a minimum of 1% of the card balance, on top of which any interest and charges will be added.

The company introduced this method of calculation for new customers in mid-2009, and is now extending the policy to its existing cardholders. It said the change was "the right thing for all of our customers", and reflected the view of many consumer groups, experts and individuals that minimum payments are set too low.

MBNA said those regularly paying off only the minimum "could save significant amounts of money over time, and pay their balances off much more quickly" as a result of the change. But it accepted this may be "a significant change" for some cardholders.

For example, someone with £2,500 on their card, whose interest rate is 16.9% APR and who only ever repays the minimum, would see this payment jump from £37 to £57. For those with bigger balances the leap would be more sizeable.

http://www.guardian.co.uk/money/2011/feb/03/mbna-increases-credit-card-repayments