Remortgaging while on DMP

cheesypuff

Hi

Looking for some advice please we have been on a DMP for about 5 years now. We have an interest only mortgage with Santander but would really like to change this, does anyone know would our changes of getting any sort of deal with them or any other lender at all be next to nothing?
Does anyone know of any companies that give mortgages to people that have debts? Or am I on a road to nowhere and stuck on
SVR for ever more 😿😿

3wisemonks

Sorry no advice really but I will watching this thread as we are in a similar position.
Our defaults have dropped off our file as its been 6 years so you maybe close to the point I believe that will help. Also I was advised by the bank to have a minimum of £100 credit in my account always. I know that's not easy when debt busting and I've struggled but try to count it as part of my emergency fund. For some reason having a fairly large (for me anyway) ISA and savings elsewhere they like to see the current account £100+ throughout the month.
Also you can check your credit score on noddle for free.

Patman_Post

Hello Cheesypuff,

This is an interesting question. Normally I would think there is little chance of renegotiating your mortgage whilst you are still on a DMP.

However - you state that you are on an interest only mortgage with Santander. I would think that it would be in Santander's interest to move your mortgage on to a repayment mortgage as this should mean they will get more of their money back earlier.

I think it might be worth asking for a meeting with a Santander advisor. That way you can discuss it with them and see if it is a non-starter without getting as far as credit checks. They can also let you know on the possibility of moving from the SVR.

I would imagine it would be easier to do this through Santander as they already have your mortgage business, but I don't suppose it can do any harm to ask other mortgage companies if you do get an offer from them (just be careful not to put too many credit searches on your credit history file)

My first stop would be to arrange to speak to someone in person at your branch.

Good luck, hope it works out

glentoran99

Remortgaged to a new deal with no issues whatsoever while on a dmp, and im also in negative equity but the bank gave me the same deal as 90% mortgage

cheesypuff

Hi Glentoran99 can I ask who your provider is?
I asked one day over the phone with their mortgage people what we would pay on SVR and it was around £350 a month extra. I would really like a fixed rate if possible.

Thanks for the input everyone:)

owen_money

I stayed with the same lender and didnt have any problems in changing to a new product with them when I was on a DMP. However I didnt change from interest only to repayment so dont know if they treat this as a 'new' mortgage

glentoran99

cheesypuff wrote: »

Hi Glentoran99 can I ask who your provider is?
I asked one day over the phone with their mortgage people what we would pay on SVR and it was around £350 a month extra. I would really like a fixed rate if possible.

Thanks for the input everyone:)

Its Ulster bank, The SVR is more than likely cheaper than a fixed rate.

As you arent borrowing any more money i dont think they would even bother with a credit check, I know mine didmnt

cheesypuff

Great thanks for your help

dazla

I remortgaged to a cheaper deal with halifax, my provider, and i have defaults, there were no problems remortgaging

Upsidedown_Bear

OP - might be worth asking on the Mortgages & Endowments board too
http://forums.moneysavingexpert.com/forumdisplay.php?f=15

Thrugelmir

owen_money wrote: »

I stayed with the same lender and didnt have any problems in changing to a new product with them when I was on a DMP. However I didnt change from interest only to repayment so dont know if they treat this as a 'new' mortgage

This is just a product switch. Remortgaging requires a new full application and all it entails.