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Remortgage - Overdraft Qn
Swiss_Toni
Posts: 175 Forumite
We are in the process of remortgaging and reducing the value of the loan.
To get the lower rate that we want, we need to repay £45k, but only have £40k in liquid savings at the moment.
We have a £5k pay-out coming in a few months time from a longer-term investment.
If I use £5k from an overdraft facility I have on a current account (not my main account, which I will have to show to the new lender before completion), will the Lender be able to identify that as a loan?
No doubt on their credit search they will have seen that I have that facility, but do not use it.
I do not wish to wait until my other investment pays out before remortgaging as I don't think the rate I have been offered will be available for much longer and the financial benefit of doing it now rather than staying on my current lenders standard variable rate is significant.
-If I use my £5k overdraft to reduce my mortgage by £45k, would the new lender know (or care?).
To get the lower rate that we want, we need to repay £45k, but only have £40k in liquid savings at the moment.
We have a £5k pay-out coming in a few months time from a longer-term investment.
If I use £5k from an overdraft facility I have on a current account (not my main account, which I will have to show to the new lender before completion), will the Lender be able to identify that as a loan?
No doubt on their credit search they will have seen that I have that facility, but do not use it.
I do not wish to wait until my other investment pays out before remortgaging as I don't think the rate I have been offered will be available for much longer and the financial benefit of doing it now rather than staying on my current lenders standard variable rate is significant.
-If I use my £5k overdraft to reduce my mortgage by £45k, would the new lender know (or care?).
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