FCA: Interest-only mortgage crackdown "gone too far"

neverdespairgirl

dryhat wrote: »

... and they say only low-life renters have trouble budgeting.


The fact remains ... the vast majotiry of IO mortgages are taken out by people who would not otherwise be able to afford to move into the house they like.

(note I didn't say "buy" the house they like)

We don't have any trouble at all with budgeting. We took out an I/O mortgage in order to assist our budgeting, not to abandon it.

Almost all of our costs are fixed or nearly so - childcare, mortgage, utilities, council tax, etc. The amount to be paid is the same (or nearly the same) every month.

So it is useful for us, a couple where both of us are self-employed, to minimise the monthly commitments. So in a month where OH gets paid £500 and I get paid £300 (it has happened) we can still pay the interest payment on our mortgage with no hassle.

Then a big case gets paid for, and we can pay £10k off our mortgage.