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

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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:
Debt free wannabe... cleared it with MSE help!
Like a yoyo... right back in it however... d'oh!

Comments

  • ACG
    ACG Posts: 24,542 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    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.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Dave_Ham
    Dave_Ham Posts: 6,045 Forumite
    Tenth Anniversary Combo Breaker
    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...
    I am a Mortgage Broker
    You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it.
    This signature is here as I follow MSE's Mortgage Adviser code of conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • thanks folks! TBH I'm happy enough with them... is the rate overly high?
    Debt free wannabe... cleared it with MSE help!
    Like a yoyo... right back in it however... d'oh!
  • GMS
    GMS Posts: 5,388 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    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?
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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