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Remortgage whilst on a DMP - is it possible?

I currently have a DMP with Stepchange which has been running for almost 3 years and is due to complete in April 2020.

Our mortgage was with NRAM and then subsequently was bought out by Landmark. The deal is pretty pants and is costing us around £1000 a month @ 4.78%

We have around £50000 equity in the house as it stands and have no desire to move anytime soon.

I have researched the possibility of remortgaging which although is fairly restrictive due to being on a DMP it seems there are some lenders who may consider it.

I was wondering if anyone has any experience of this and what the likely LTV and interest rates may be. If I can get a better deal then I'm hoping to lump the difference between my current monthly payment and a new one into the DMP to clear the debt quicker. If I can release some of teh quity that would be even better but I want to clear debt rather than add.

Any input would be greatly received Thanks :)

Comments

  • Keezing
    Keezing Posts: 322 Forumite
    Eighth Anniversary 100 Posts Name Dropper Combo Breaker
    You're best off finding a mortgage broker that specialises in adverse credit mortgages

    Good luck
  • Suseka97
    Suseka97 Posts: 1,571 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    I'm with keezing on this. I have a friend who works for a building society and basically she told me 'in confidence' that regardless of a borrower's affordability on paper -if someone states they are in a DMP they will not be considered for a mortgage. Now whether that's true in practice across the board or not, you need to look into mortgage lenders who are less risk adverse. Ultimately you may find that the deals on offer are less attractive than the one you are on - but worth investigating.
  • Thanks for the input and sorry for replying so late!. I will put some enquiries out and see what I get back.
  • donna1979
    donna1979 Posts: 113 Forumite
    Hi did you manage to get anywhere with your remortgage? I am in a similar position - DMP and landmark mortgage!
  • Danny008
    Danny008 Posts: 25 Forumite
    Third Anniversary
    You could just do a rate change with your current bank I believe.
  • donna1979
    donna1979 Posts: 113 Forumite
    Danny008 wrote: »
    You could just do a rate change with your current bank I believe.

    Unfortunately not - when Northern Rock was bought out the new companies are not able to offer existing customers better deals!
  • Danny008
    Danny008 Posts: 25 Forumite
    Third Anniversary
    Apologies I didn't read the OP.
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