Mortgage and DMP

sarah1111

Hi everyone,

I just have a little (yet probably complicated question).

If you are on a DMP and the recipient of several default notices as not paying the full minimum monthly repayments and again in turn the proud (as I am paying off ALL my debts) owner of a really crappy credit score, how will thinks be when I come to the end of my fixed rate period?

My morgage was fixed for five years, I started on a DMP this year and still have one year left of my fixed rate, after which I will I will go on the standard variable rate. Now my fixed rate was for something like 5.5% and when I got my last mortage statement it said at the end of my fixed period I would go from paying £900 a month to £580,which is great provided interest rates don't go flying back up, but my question is will I be able to get another fixed rate, or will I just have to keep on the variable rate till my DMP is completed and my credit rating starts to improve.

I am sure some of you out there will have a wealth of knowledge on this so any information will be greatly appreciated.

Many thanks.xxx

~Beanie~

You should be able to get a new fixed rate as long as you stay with your exisitng lender as they won't credit score you again (as long as you don't want to borrow any more). Your credit score will prevent you from moving to a new lender.

sarah1111

I am actually really happy with my morgage provided they are very competitive, and I prefer being on a fixed rate for the security of knowing where I stand each month despite saving around £300+ a month on the variable rate, especially now I am on a DMP. I guess it will boil down to how much the arrangement fee is if applicable and what the new fixed rate is. I am a little relieved to hear they may not credit check me again. I have always made my repayments on time and not looking to increase the amount.