Mortgage increase - help!

Unsure2023

Hi, 

My mortgage has increased to more than £200 per month now and struggling to pay the extra costs. The best deal when I remortgaged Nov 22 was a variable rate, but due to increasing rates this has gone up to 6% now.

Should I see if I can get better deal, whether it be a fixed rate (will incur penalties and additional cost) or hold out and hope the rate decreases?

I'm honestly stuck and it's just me paying it so I don't want to be financially stretched and go into potential arrears.

Thank you in advance. 

Sarah1Mitty2

There must be some lifestyle cutbacks you can make to find £200, would this be possible?

MFWannabe

Unsure2023 said:

Hi, 

My mortgage has increased to more than £200 per month now and struggling to pay the extra costs. The best deal when I remortgaged Nov 22 was a variable rate, but due to increasing rates this has gone up to 6% now.

Should I see if I can get better deal, whether it be a fixed rate (will incur penalties and additional cost) or hold out and hope the rate decreases?

I'm honestly stuck and it's just me paying it so I don't want to be financially stretched and go into potential arrears.

Thank you in advance. 

Are you on a fixed deal now or just on the svr? 

Check what interest rates are with your current lender; should be able to check this online 

jimjames

Sarah1Mitty2 said:

There must be some lifestyle cutbacks you can make to find £200, would this be possible?

Definitely worth checking the Debt boards here for ideas on how to reduce outgoings.

Having said that, it does seem odd to have penalties from moving from a SVR product

Unsure2023

I'm on a variable rate mortgage at the moment. I will check the debt board thank you, though I'm already at the minimum expenditure as it is so unsure how I will find another £200.

Was thinking more if I would be able to go onto a fixed rate as I'm out of my remortgaging period or whether to stick to my current mortgage and hope for the rate to go down? 

Newbie_John

Call your bank and ask these questions - you are likely on Standard Variable Rate (SVR) and should be allowed to move to a fixed term? Or maybe are you on a Tracker?

At the same time, focus on reducing outgoings - by reading the debt forum, there is a lot of things that we assume we already pay the minimum but we can actually pay less, not everything will work for everyone but you can find some ways to save.

The rate is unlikely to go down any time soon, and if it does, not significantly - so you need to plan how to save these £200 a month.