£90,000 loan advice needed

rqy99g

Hi

I am in the throws of buying a house and I believed I could buy with saving.

I have just realised that I have cocked up as £90,000 are locked up in a Post Office Loyalty Bond (12 month left to run on an 18 month term).

We have written to the Post Office to ask for release from the bond but aren't hopeful.

What would be the cheapest way to borrow £90,000 for 12 months?

I'm 55, semi retired my wife (54) still works full time and we have a combined income (inc pension) of around £50,000.

Regards

Simon

CKhalvashi

Unforunately, you'll be lucky to get a mortgage (and with fees, there will be no truly decent rates), and bridging finance would cost in excess of 9% per year (so on £90k, will cost around £8100 or £675 a month).

Someone will probably correct me, but if you can't close the PO bond (I don't know the T's and C's, but with my bank it can't be closed if over £50k), then you'll either have to take the financial hit or wait.

rqy99g

Thanks for the reply.

The £90k is split between two accounts one has £40,600 and the other £50,900. Hopefully that may help then if they do show some clemency.

Simon

PS 9%+ that takes me back to the 80's and I didn't like it then!

pjread

Have you exchanged?

antrobus

rqy99g wrote: »

.....I have just realised that I have cocked up as £90,000 are locked up in a Post Office Loyalty Bond (12 month left to run on an 18 month term)....

Which would be Bank of Ireland UK.

I would expect that the Bank will be happy to close out your bonds and give you the money. At a price.

rqy99g

pjread wrote: »

Have you exchanged?

No not yet. But not far off.

antrobus wrote: »

Which would be Bank of Ireland UK.

I would expect that the Bank will be happy to close out your bonds and give you the money. At a price.

Any best guesses how much it would hurt!!

AFK_Matrix

Have you phoned up Bank of Ireland to ask? Might be quicker than going throught he Post Office.

antrobus

rqy99g wrote: »

..Any best guesses how much it would hurt!!

Don't know.

There may well be some reference in your T&Cs to a 'breakage fee'. The BoI UK would know.

chambta

Offset mortgage?

rqy99g

chambta wrote: »

Offset mortgage?

What's one of those?

I'm off to Google!

Ray_Alexander

You could try Citizens Advice - no don't laugh, but they have access to wealth of knowledge and be able to help - or point you in direction of someone who can.