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Loan...

missy321
missy321 Posts: 164 Forumite
I have a car loan with halifax for £6,236.00 (2.5yrs) remaining, would like to increase this loan to 7K for home improvements. I have a penalty to pay halifax, not sure what the amount is but does any1 think its wise to move banks & pay the penalty or stick with halifax?

Comments

  • wardlaw
    wardlaw Posts: 124 Forumite
    Hi Missy

    If you require a home improvement for your house which may increase it's value as a result ,why do you not approach the Halifax for an "Additional Advance" what you are suggesting appears to be a re-mortgage which will probably expose you to some additional costs

    Your redemption penalty will remain, but because you are borrowing more from them, and not going elswhere it will not have any bearing on yoUr redemption penalty it could work out cheaper thangetting a secured loan

    Might be best to see an independent mortgage broker for advise

    Hope that makes some sense
    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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