Interest Only Mortgage

davida111

I became bankrupt in March 2013. Fortunately I was able to keep my house but the mortgage was converted to an interest-only one. I'd like to change that to a repayment one but am afraid to try this in case the lender refuses and also stops the interest-only mortgage too (I was recently refused a phone contract due to failing the credit check). The mortgage is £240k, and the house would probably be valued at £260k. Has anyone experienced this before? Could anyone recommend an endowment type policy even? It's very demoralizing seeing the same balance month after month.

[Deleted User]

There's no need to swtich. Simply overpay the current mortgage to the same level as a repayment.

It will also give you flexibility should you ever need it.

davida111

Thanks - I never even thought of that!!

tigerfeet2006

Also do a credit reference file clean up as per the sticky if you haven't as yet.