mortgage and unemployment question

Jezscorpio

Hi


I’m unemployed and financially in the mire.

I have a repayment mortgage with 12 years to run currently fixed until 2010.

I’ve been thinking of ways to cut costs and have been considering contacting my lender (nationwide) to see if I could switch to a interest only whilst I’m not working. This would save me £125 pcm.

1)Just wondered if anyone else on here has requested this from a lender and were they receptive?

2) Would they insist I change from a fixed rate to a variable rate product ?– in which case it would be a pointless exercise as the interest rates now are a lot higher than my fix thus wiping out any saving I was hoping to make.

I know some of you might be thinking just give them a call to find out but I like to get a ‘feel’ of what is likely to be their response.

Many thanks

dunstonh

1)Just wondered if anyone else on here has requested this from a lender and were they receptive?

Most will do it. Usually costs a small fee of around £100.

2) Would they insist I change from a fixed rate to a variable rate product ?– in which case it would be a pointless exercise as the interest rates now are a lot higher than my fix thus wiping out any saving I was hoping to make.

No. Repayment method has nothing to do with the deal.

Dead_Eye_Jones

I would say its deffo worth an ask, banks can (sometimes) be quite helpful.

Good luck for the future

Jezscorpio

Thanks for the responses so far

Nickynoo1

hi,
I've just switched mine from repayment to interest only for a while. I'm with Alliance and Leicester. They charge £50 each switch. There was no problem with it at all, and I can make overpayments if I find I do have the spare cash some months.

Nickynoo1

Jezscorpio

thanks for the replies much appreciated