Mortgage confused

debbied3012

my current fixed rate deal is coming to a end, I owe, when I have paid my 10% penalty free around 21500. I really don't want to pay a massive fee to a broker if I can do it myself. I want to lower the term from 10 years to 7 if possible and I'd rather not pay any fees as I will be stretched with paying the 10%. My current lender can't offer me anything as I have gone below £25,000. Can anyone offer me any advice or put me in the right direction?

dimbo61

Sorry what 10% fee ?
You current lender will put you on the SVR but please read the paperwork that you got when you took out your mortgage.
You could ring your current lenders mortgage centre and find out what the outstanding balance is, any exit costs to leave the lender, what you Revert to when the fix ends.
You could also ask or check on the lenders website what deals/rates they have for existing customers.
Now they will not give Advice !!! You need to tell them what you want to move onto if available with your current outstanding balance.
It may not be worth moving lenders

debbied3012

dimbo61 wrote: »

Sorry what 10% fee ?
You current lender will put you on the SVR but please read the paperwork that you got when you took out your mortgage.
You could ring your current lenders mortgage centre and find out what the outstanding balance is, any exit costs to leave the lender, what you Revert to when the fix ends.
You could also ask or check on the lenders website what deals/rates they have for existing customers.
Now they will not give Advice !!! You need to tell them what you want to move onto if available with your current outstanding balance.
It may not be worth moving lenders

I can pay 10% off the mortgage without redemption which I plan to do just before the mortgage ends. My current lender can not offer me a deal because of what I owe, so I will revert to 4% which obviously is not good.

ViolaLass

4% isn't terrible, especially as you'll owe relatively little.

Once on the SVR, you'll be able to overpay as much as you want without penalties.

TrickyDicky101

If your current lender can't offer you a customer retention product, it is unlikely it will make financial sense for you to move the mortgage to another lender as any savings are quite likely to be eaten in new lender product fees, legal fees and valuation fees.

You don't owe a great deal - once on SVR why don't you simply overpay each month whatever you can afford?

caileag

Once you get below £25K you are out of the mortgage bracket, and into personal loans, when it comes to regulations. So - probably difficult to remortgage.

4% is not a bad rate, so you could just stick with that.

Alternatively, you could research personal loans but I suspect the rates will be greater than, and the flexibility less, than staying with your current provider's SVR.