Loans against mortgage

jonesMUFCforever

czabby wrote: »

Please can someone advise on my original query ��

Every single mortgage lender in the UK will probably give you the same reply- you cannot mortgage credit card debt long term anymore.
It's part of the new Mortgage standards.

You need a plan B have you heard of snowballing?
That and going to the debt free wanabe board would be a start.

Ebe_Scrooge

OP, you came here looking for advice - and you've been given lots, all basically saying the same thing. Please don't come back in a year's time with a post along the lines of "I've been made redundant, I face losing my house, please help".

Please listen to what folk on here have said - most of us have had experience of hard times, and are glad to help others in any way we can.

GazNicki

I do honestly get your train of thought on this one, stretching the debts out further to reduce the payments and improving your cash flow at the end of the month in order to save up for a rainy day, but it rarely happens.

You are simply shifting debt in an incorrect manner, at great financial cost to yourself, and at a massive risk to your capital. You may have a great long standing job now, but none of us know what is around the corner.

The Debt Free Wannabe forums would be a much better place to start, and this would probably result in you clearing your debts off quicker and still improve your cash flow each month.

Thrugelmir

czabby wrote: »

..anyone know what evidence will be required re home improvements..many thanks

I don't envisage a lender allowing you to release equity to get further into debt. While the released funds are for "home improvement". From the lenders perspective you still have the unsecured debts to repay. That's if you pass the full lenders scoring criteria. ..

Suggest you take a look at the Debt Free Wannabe board. As best course of action is to help yourself. Self imposed austerity with some belt tightening. You'll learn from the experience as well. Which will equip you better in the future.

Fireflyaway

I guess things may have tightened up but around 8 years ago we stupidly remortgaged to buy property abroad. They asked us the reason why we wanted the money and we told them home improvements. No checks were done and no further info required. We said it was for a variety of things like carpets etc. Fast forward and the market changed meaning the value of our home dropped and we were in negative equity and stuck there. Our own stupid fault. I see you have plenty of equity but I seriously wouldn't mess with your mortgage. You are not tacking your debt, just moving it about. In fact increasing it. Why not throw the child support money at it and get rid quicker? Its risky if the interest rate changes or you lose your job.

flower77g

Some of the comments on this thread don't look right to me:

- It is still possible to consolidate credit card debt: the large building society I have a mortgage with allows it, provided you pass their affordability checks. At least one of the high street banks does so too.
- Sometimes it may make sense to move a 0% debt to a loan or mortgage at a higher rate. For example: if you have an outstanding balance on a credit card that has x months to run which reduces each month but you know it will take longer than x months to clear it and believe interest rates will increase before the end of the x month period. Too many folks on here just keep assuming you can balance transfer these debts on to another zero rate credit card at the end of the period: as credit card lenders criteria are tightening this isn't always a safe assumption.

Similarly I choose to have a mortgage on a five year fixed rate which is higher than a 2 year fixed rate: lowest rate isn't always the right choice.