Mortgage Rate Increase... Can/should I do something???

GingerAngles

Hi folks!

Hunted through a few threads but couldn't see anything specifically relevant...

We have a mortgage of £72k with 19 years left and a property wort about £100-£110k.

Our mortgage is with MAS number 5 limited we're not on a fixed or tracker and we've just been told our rate is going up to 5.75%

My question would be is this rate OK? I cannot find any point of reference? We have a lot (~£20k) of debt made up of a loan and credit cards (the credit cards are on a self managed debt plan) and I fear this will severly limit our options!?

Any advice greatly appreciated!!!

:beer:

ACG

If im being honest i dont think you have much of an option.

I wouldnt worry about it unless you cant afford the new rate, in which case i think your only real option is to sell up as you will struggle to find a new lender i think.

Dave_Ham

Unfortunately you cannot do much and this is why they are happy to keep increasing.

It will be incredibly unlikely that you will get a new mortgage with any sight of a debt management plan..

Sorry - but I wish you well...

GingerAngles

thanks folks! TBH I'm happy enough with them... is the rate overly high?

GMS

The rate is not high historically. However even if the rate was 15% and you had no option of going elsewhere the rate would be correct as it would be the only one for you.

When you say 'self managed' debt plan do you mean there is something official in place or are you just doing your best to reduce your debts?