Halifax fixed rate up in Nov what to do

wildkr

Hi,

Thankfully our fixed rate (6.9%) mortgage is up with the Halifax at the end of Nov and we're wondering what to do now. I was made redundant earlier this year so our income has vastly reduced. Luckily my redundancy paid the mortgage for the past few months and will do up until the fixed rate ends but we're wondering where to go from here.

We need our repayments to be as low as possible so are we best sticking with Halifax and going on a variable rate / interest only mortgage (if this is an option!)? I'm presumming that because I'm not working at present we will have difficulty swapping to another provider. If we stick with the Halifax is there any reason we will not be able to go on interest only? Dees anyone know what the variable rate is at present, is it 3.5% (seems high to me).

We are going to arrange a meeting with the Halifax to discuss because trying to get any info over the phone is like trying to get blood from a stone! However neither me nor my husband are clued up about mortgages so would be so grateful if anyone could give us any advice.

Thanks in advance

opinions4u

Unlikely you'll be able to remortgage.

I think 3.5% SVR will be as good as it gets for you, but ask what alternatives they have.

The Halifax SVR is one of the lower ones. Most are above 4%, noteable exceptions being older Lloyds TSB, C&G and Nationwide mortgage.

wildkr

Thanks so much for replying, do you think we will have any issues swapping from a re-payment to interest only mortgage?

Tebheag

Hi The SVR rate is 3.5 %. They will consider you for an interest only mortgage for about a year which will not affect your credit rating but they will ask for a rough SOA. There are other options but they will affect your credit rating like taking a break for making payments, reducing the amount paid etc think its about 3 mths !. Do you have any equity in the house if there is quite a bit you could take a payment holiday ?

Good Luck We will be going onto the variable with them in Nov and I had to phone them up after i had lost my job I would try calling back again as some of the staff are useless whereas some of them can be so helpful.

wildkr

Thanks for your reply, has been really helpful. I think we will ask for them to consider switching to interest only, that would really ease the pressure. Really dont want to do anything that will affect our credit rating yet, might have to consider if I cant find work but hopefully that won't be the case.

I will try calling them (as opposed to my husband, I know what he's like sometimes ;-) fingers crossed I will get a helpful person.

Thanks again.