Remortgaging and credit card debt

vanchapman

Hello all,
My fiance and I are due to remortgage for the first time in March next year. Since we moved in we've both accumulated credit card debt of approximately £8k each, a portion of it by household renovations and a new kitchen.

When we applied for our mortgage as first time buyers we had to clear all existing credit card debts. We're both aiming to clear as much off our credit cards by the time we have to remortgage and I should be able to reduce mine by a half.

I was wondering if anyone here has gone through the same process, of remortgaging while having credit card debts, and whether it proved to be a problem?

Thanks in advance.
Mark

Neutrinno

If you are looking to remortgage with a different lender then t depends on the lenders affordability assessment which varies with each lender. We can't really tell you yes or no whether it will be a problem as there isn't enough information provided.

It will depend on how much debt is outstanding, your income, mortgage balance, term etc. You can try going onto one of the lenders sites and using their affordability calculator and seeing for yourself if it's likely to be affordable.

If you are looking to rate change then your current lender will be unlikely to do a new credit check so it wouldn't make a difference.

mcpitman

If you are staying with you're existing lender and have good history with them, it probably won't matter.


Recently done the same with some cc debt @ 0% with my lender. Didn't even ask for a refresh of incoming/outgoings numbers, just the usual compliance questions.


End to end it was all done offered and scheduled for a product transfer to new rate within 15 minutes of picking up the phone to them.


Changing to a different lender will likely mean a full affordability assessment, which depending on that particular lenders credit policy may or may not present any problems.