Credit card/ Remortgage

Steviewonder1970

***Also posted on mortgage board**

All suggestions, help and advice appreciated.

In December my current fixed rate deal on my mortgage comes to an end (currently fixed at 8.99%, yes I know it’s high it was a 10 year fixed rate deal that was good at the time).
Come December I will have about £13k outstanding over a 5 year period. I currently pay just over £250 per month, but I can now afford to pay upto £400 per month.

Now my problem- Should I

go for the safe option and remortgage reducing the term to 3 years.

Use a super transfer balance and stick the £13k on credit cards and shuffle around on 0% balance transfers, which is a little riskier.

Go for another option?

All suggestions, help and advice appreciated.

Galstonian

I do not think you will be able to simply stick it on credit cards but even if you manage it I don't think you should. If you have trouble with balance transfers you need to have a backup, perhaps a very flexible mortgage or even a personal loan, to have no alternative to CC would be foolish. I am not saying you can't use CC offers to reduce or even eliminate interest payments, just don't rely on it.

alirob12

hi i'm havin a simmilar problem at the moment but wanna pay off my loan of 14.9% interest by sticking it on the c card and then either shuffling between 0%interest cards or by putting it on for example texaco - 3,9% for balance life, I think i ll decide to do that but i only have about 4or 5000 to pay off,

Rafter

Two ideas for you Stevie, since I think it is unlikely you will get a mortgage for such a small amount for such a short term.....

1. A cahoot flexible unsecured loan that you can then use 0% cards to keep the interest down and pay off as and when you can.

2. A first direct or woolwich offset mortgage for £50,000 but with most of it offset with savings. You then have access to a cheap form of borrowing as well as a way of improving the return on any other savings. You can also use the 0% offers into the offset arrangement.

In time hopefully you will have a £50,000 mortgage offset by £50,000 of savings (both reducing due to repayments) but no interest bill. At least the bank will be looking after your deeds for you though!

Grumpy_Old_Duffer

Steviewonder1970 wrote:

In December my current fixed rate deal on my mortgage comes to an end (currently fixed at 8.99%, yes I know it’s high it was a 10 year fixed rate deal that was good at the time).
Come December I will have about £13k outstanding over a 5 year period. I currently pay just over £250 per month, but I can now afford to pay upto £400 per month. Now my problem- Should I

go for the safe option and remortgage reducing the term to 3 years.

Use a super transfer balance and stick the £13k on credit cards and shuffle around on 0% balance transfers, which is a little riskier.

Go for another option?

Switch to a One Account flexible mortgage.
'Stooze' on Credit Cards, putting the capital into the One Account.
Keep your payments as they are (i.e. £250 per month)

That's my opinion and I'm sticking to it

Galstonian

Grumpy_Old_Duffer wrote:

Switch to a One Account flexible mortgage.
'Stooze' on Credit Cards, putting the capital into the One Account.
Keep your payments as they are (i.e. £250 per month)

That's my opinion and I'm sticking to it

Which seems a bit foolish give that the interest rate is not the best available. Personally I'd look to Egg as they have good rates and very low fees.

zcaprd7

Why not apply for a few low life of balance cards (Texaco and Amex) and see what your get offered?

Mule them to Egg for cash and then do a remortgage based on what you need?

Grumpy_Old_Duffer

Galstonian wrote:

Which seems a bit foolish give that the interest rate is not the best available.

If they've got a better Mortgage Rate than One Account then I totally agree, go ahead, but the gist of my point was to use a Flexible Mortgage Account