Redemption help needed! Please!!

Boudabong

Hey all,

First off love this site - just by following tips from different forums we've cut our monthly out goings by over £300!!! :beer:

The only thing we can't touch is our mortgage with the Halifax. We're paying £946 a month and owe 141k, the house is worth about 200k... we want to free up about 50k to get rid of a secured loan and credit cards to cut our monthly outgoings even further. BUT we're tied in until August 2009. Right now they'd want £4,300 on top of what we owe, after July this year it comes down to £2880... We're on a fixed rate of 5.79%

Does any of you guys out there know of any banks who pay your redemption fees and legal stuff for you if you transfer your mortgage to them? I'm sure there used to be a tv ad with someone doing this the other year.

Is it worth it? Should we just wait until 2009 and then do a deal?

We've tried requesting to move to an interest only as we're skint - but they're not having it.

Your help would really be appreciated.

Cheers guys.

:rotfl: :j :rotfl:

silvercar

have you asked them for increased borrowing? This would allow you to borrow more money but not have to pay redemption penalties.

If you increased the amount of the new mortgage, there would be enough money to repay the redemption penalties. This won't be a problem provided you can find a new lender to give you the amount you want.

No harm in looking for a new mortgage (via a broker so your credit rating is not hammered by too many applications) and seeing if you can work out a good deal. Remember that consolidating loans puts your home at risk if the repayments become unaffordable.