📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Pay off mortgage or secured loan

Hi all,

Im new to all this! I wanted to ask some advice. My husband and I currently have an interest only mortgage (23 years) and a secured loan (for 9 more years). We plan to change the mortgage to a repayment but are stuck as yet as we cant pay more than we do (£755) as the loan is £645 per month. My husband may soon have a higher paid job and Im wondering should we pay more off the mortgage or more off the secured loan? Other than these two mortgages we have minimal debt (one credit card for £3600).

Any ideas? It worries the hell out of me as we dont have pensions either....
:confused:

Comments

  • Tixy
    Tixy Posts: 31,455 Forumite
    Of the 2 probably the secured loan - but it depends on what interest rate you are paying on each, my guess would be that the secured loan is considerably higher.

    Though if the credit card is an even higher rate of interest (and you are not able to transfer it to a 0% deal or somewhere cheap) then I would pay the card off before the secured loan.
    A smile enriches those who receive without making poorer those who give
    or "It costs nowt to be nice"
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351.4K Banking & Borrowing
  • 253.3K Reduce Debt & Boost Income
  • 453.8K Spending & Discounts
  • 244.4K Work, Benefits & Business
  • 599.7K Mortgages, Homes & Bills
  • 177.2K Life & Family
  • 258K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.2K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.