Mortgage due

rensza

We've a 4K mortgage  and a mortgage reserve loan of 9K, with Barclays (was Woolwich) which finishes in December this year. Our  house is worth around 350K.We are early 70s and retired.
We don't have the money to repay it,but can reduce it to around 10K .Would like to borrow/ remortgage and repay over next 3-4 years.
I know it's sensible to start by asking  Barclays. Or we could transfer the debt to a 0% credit card and pay it off over 33 months. Any advice welcome.

Choirgrl

I suspect the challenge you’ll face is that, in mortgage terms, that’s a  small amount of money and may well fall below lender’s minimum borrowing amounts. You could try posting on the ‘ask a mortgage broker’ thread on here, and see what they say as to whether there are generally products out there that fit your circumstances,

With a 0% credit card, remember that there is usually a transfer fee that is a percentage of the cash advance amount - so there is a cost to the borrowing even if no interest. If I were you I’d compare that cost to the total cost of borrowing via a mortgage or an unsecured loan, and go with the most cost effective option.

jimjames

Is it an interest only loan? What plans did the bank want for you to show repayment ability? Probably best to speak to the bank to see what options they offer but be wary about equity release when you have so much equity and low loan.