Remortgage? Is it a good idea? Could I get one?

dadooronronrondadooronron

hello, I have been posting and reading advice for last couple of years. I am paying reduced payments to creditors (self administered) and have managed to pay couple off. The biggest oens are now offering reduced settlement rates and I would really like to get rid of them - we are managing but it feels as though we are watching every penny and constantly worried that they might demand more. Now the house is worth about 230K and the mortgage is 120K. I have been thinking whether it would be feasible to borrow enough to pay off the big amounts and therefore shove it on the morgage. I know it is just shifting the debt but we have definitely learnot our lesson and now shop and spend in a different way and it is actually good to only buy things that we can pay for there and then rather than on credit cards. Is seems daft to have this reasonable amount of equity in the house and to be struggling to buy food because paying bills. Basically looking for advice - is this a good idea?? Secondly - and most importantly - is it likely that would be able to increase mortgage/remortgage. Have defaults and did miss one month mortgage last year - but paid it the next month and communicated reason to them. Any thoughts appreciated - RON

_Andy_

Assuming you are with a high street lender, an application for further borrowing would probably be a straight decline due to the adverse credit.

Thrugelmir

Unlikely that any mainstream lender would consider a further advance / increased mortgage under the circumstances you describe.

Have you considered downsizing ( or renting for a period) in order to put your financial affairs back into order?

GMS

It may be possible but unlikely to be with a high street lender.

You need to consider the options before adding unsecured debt to your mortgage. Putting your home at risk for debt repayment is not to be taken lightly. That said there is always a chance unsecured debt can become secured if not managed.

Best thing to do would be to speak to a broker. They will know which lenders would consider such an application.