Re-mortgage with £20k credit cards & Overdrafts..?

newbiesaver55

Are dreaming? We have a 17 yr mortgage of £181k and we're currently on a good rate, I can see we can do better... We have an £83k income, mortgage outgoings of £1100 ish. There's about £3k in various 'pots' saved up for regular expenditure on cars, childcare etc. No other credit elsewhere and no bad credit history....


We use some of our £1k overdraft virtually every month... The reason for the credit cards is not living expenses but because its cheaper to pay the 0% credit and keep the funds invested elsewhere overseas whilst they're making a (currently) very good return. There is a second overdraft that pays for the minimum payments on the credit cards - so this money is currently just recycled around...


I don't want to risk a credit search if we have no hope!


What do you experts think?!

amnblog

I am wondering why you are worried about a credit search on your file.

Omelettes and eggs

AnotherJoe

I don't want to risk a credit search
======
Why?

Thrugelmir

newbiesaver55 wrote: »

Are dreaming? We have a 17 yr mortgage of £181k and we're currently on a good rate, I can see we can do better... We have an £83k income, mortgage outgoings of £1100 ish. There's about £3k in various 'pots' saved up for regular expenditure on cars, childcare etc. No other credit elsewhere and no bad credit history....


We use some of our £1k overdraft virtually every month... The reason for the credit cards is not living expenses but because its cheaper to pay the 0% credit and keep the funds invested elsewhere overseas whilst they're making a (currently) very good return. There is a second overdraft that pays for the minimum payments on the credit cards - so this money is currently just recycled around...


I don't want to risk a credit search if we have no hope!


What do you experts think?!

Lenders wouldn't interested in savings. What matters is what they can see. Recycling will flag up.

d70cw6

what's wrong with credit searches? they serve a useful purpose imo.

newbiesaver55

I read Martin's (or whoever's) pages on mortgages and it seemed to suggest that to apply for a mortgage and then get rejected and then apply elsewhere ... would be viewed negatively upon the next application.

And there will be another application because we will approach the point where it's worth liquidating the investment ... in order to overpay on the mortgage , (& clear the credit cards)...

SavingSteve

newbiesaver55 wrote: »

I read Martin's (or whoever's) pages on mortgages and it seemed to suggest that to apply for a mortgage and then get rejected and then apply elsewhere ... would be viewed negatively upon the next application.

And there will be another application because we will approach the point where it's worth liquidating the investment ... in order to overpay on the mortgage , (& clear the credit cards)...

How soon is this point? The point around applying, rejection, reapplying is most pertinent if applications are in quick succession.

newbiesaver55

Tricky but a good point - it's a how long is a piece of string question... so I guess s bigger gap is preferable then... Hmm...

Bonfire_Bride

Why not approach a broker and they will decide where is best to place your application?

newbiesaver55

The bank accepted a rate switch Thanks all.