Further advance

bonzo65

Hi all

I'm looking to borrow £15,000 for as little as possible per month. A further advance on the mortgage seems the obvious route. I'm currently 2 years into a 5 year fixed deal with Northern Rock who have offered me a secured loan on a variable rate (6.99% at the mo) over the remaining length of the mortgage (23 years). My intention is to combine both loans at the end of the fixed term and re-mortgage for the total amount. I'm assuming that I will make very little impact on the 15k over the next 3 years so I was thinking of paying interest only until I re-mortgage to keep the re-payments down.

Given all the bad press about secured loans, does this sound like a good idea (isn't a mortgage a secured loan anyway?). There are no penalties for early repayment (only the dreaded admin charge!) Are there any other options?

Any advice would be greatly appreciated

thanks ;-)

ste

bonzo65

anyone?

bonzo65

no worries - got it sorted now

thanks for all the advice :rolleyes:

wardlaw

bonzo65 wrote: »

no worries - got it sorted now

thanks for all the advice :rolleyes:

Secured loan, is no bad thing

The rate you have quoted is excellent also

I should go for it, as its not an excessive APR In fact its one of the lowest.

The high APR's get bad press just like other borrowings such as Credit Cards

John

bonzo65

thanks for the reassurance John

I did ask a broker to see what other deals were about but the best they came back with was a staggering £179 per month compared to £87 from Northern Rock!

ste