Mortgage income/expenditure

Gizmo1967

I have just completed 25 years of an endowment mortgage started in 1987. Unfortunately, the endowment hasn't paid the whole amount. I still have about 8k to pay. I am on benefits and DLA. In theory Santander are happy to start a new mortgage for the remainder and the DWP will carry on covering the interest.

Santander are asking for an income/expenditure over the phone before progressing. Whilst I do no wish to lie, I am wary about giving these figures as on paper the difference between income and expenditure looks healthy, but in practice I have very little left to spend.

I am looking at paying off the mortgage of at the same £30/month I was paying the endowment company so as not to over-commit, but in reality will make extra payments.

Does anyone have any knowledge of how income/expenditure forms are looked at? Surely Santander must allow for contingencies (My cats have cost me over £120 this week with cat flu). I also attend hospitals 60 miles away which is expensive.

My concern is that Santander will ask for the difference between I and O.

Thanks

opinions4u

It's always important to prioritise Tiddles ahead of paying the mortgage!

Seriously, fill the forms in honestly. If there isnt a specific question around health related travel expenses add the information.

Santander are playing fair with you. They've not demanded repayment in full. Fill the form in and take it from there.

Your endowment premium has been freed up. So you will be in a position to make some sort of contribution to capital reduction.

Thrugelmir

Gizmo1967 wrote: »

My concern is that Santander will ask for the difference between I and O.

Thanks

Then ask yourself if you want a new mortgage. If you portray a situation where you are unable to afford it. The lender might not be so willing to help.