Complicated remortgaging- need help and ideas!

HopelessSituation

Hi, I have a really complicated remortgaging issue, with some debt thrown in, and don't even know where to start!

So I have a lot of equity in my house, and my ex husband is still on the mortgage, however has been financially agreed and paid off. I will be remortgaging next year with my partner, who I have been with for several years. We earn more than enough between us for the affordability. 

However the issue we have is, from him being self employed through Covid, we have run up a bit of credit card debt. We are steadily paying it off, but nowhere near fast enough, and I feel like a ticking time bomb until my variable rate ends in January. If we don't remortgage then, my mortgage will go up by about 500 a month, putting us in an even worse position. We are talking about 12k worth of debt.

It's frustrating I have the equity in the house, about 150k but can't do anything, as I assume I can't just get a mortgage with existing credit cards? Any ideas how to unravel this mess would be so helpful, as I'm having sleepless nights trying to figure out what to do!

Thank you in advance for any helpful suggestions. And yes I know we were stupid to let it get as bad as it did, but hindsight is a wonderful thing!

CSI_Yorkshire

You absolutely can get a mortgage with existing credit cards.  I'm assuming that your hitting at least the minimum payments on them.

Find a good broker, explain the details of balance and payment schedule for the cards, and they'll tell you which lenders are best for your situation - I think you will be pleasantly surprised.

HopelessSituation

CSI_Yorkshire said:

You absolutely can get a mortgage with existing credit cards.  I'm assuming that your hitting at least the minimum payments on them.

Find a good broker, explain the details of balance and payment schedule for the cards, and they'll tell you which lenders are best for your situation - I think you will be pleasantly surprised.

Yes have been making at least minimum and a bit extra as and when we are able. My credit score was very good, and looks as though only issue on there is that a high percentage of my credit is used.

Brie

The crucial bit will be how affordable the mortgage AND credit cards are for you.  We moved a few years back with a much higher amount on our CCs but the mortgage ended up being a much lower LTV so the bank was happy with the amount being agreed.  

ACG

I remember seeing a couple with £103k on credit cards once! 

£12k is not too bad if that is your only debt. Most people have a loan/credit cards for £5-15k so you are more or less in the middle. 

Assuming your incomes are enough, you can remortgage and wrap the debt into the new mortgage - not ideal as it becomes secured and you are paying it off over 2-3 decades, but it might help you sleep better at night. 

Speak to a broker, but on the face of it I reckon you will be fine.