We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
borrow out of mortgage
Options
chloejane_2
Posts: 257 Forumite
i not sure if this is in the right place and sorry if its not, me and husband have 16k on credit cards and a loan and need to do some work in house to finnish it to allow us to move, have thought about taking 20k out of equity on the house we have any ideas on this please?
0
Comments
-
Hi,
Cannot really offer you much advice, but will tell you of my experience.
A few years ago we took out £20k to run in line with mortgage, and pay back £129 a month.
All seems fine as it was a low figure, but will be paing till 2022!
Also I have just checked last years statement for you and the interested charged for 12 months was £842!...........so think long and hard. :eek:
I wish I would have done.0 -
If you take equity out of the house, make sure you structure it so you can pay it off as quickly as you could pay a loan. If you let it run for the life of the mortgage, you will pay a load of interest.
Pay it off over 5 years and this won't be an issue.
Don't borrow the money unless you know you can repay it, you don't want to lose your home.I have five stars! This doesn't mean that I know anything about any of the things I post. I could be a raving lunatic, or a brilliant genius, or just some guy on the internet. In fact, I could be all three at the same time.
If anything I say makes sense, then do it. If not, don't. Don't blame me or my stars if you do something stupid because I suggested it. I'm responsible for my own stupidity only. You are responsible for yours.
Why, I don't even have five stars anymore! Aren't you glad you aren't responsible for my stupidity?0 -
thanks for the advice it should not be a problem as we have a small mortgage and were planning on overpaying the borrowed amount. having the 16k in one place seems easier to manage than having three credit cards and one loan.0
-
But will you run up more debt on credit cards?0
-
no i dont use them very often now and when i do i pay them off and ensure they are interest free0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 350.9K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.5K Spending & Discounts
- 243.9K Work, Benefits & Business
- 598.7K Mortgages, Homes & Bills
- 176.9K Life & Family
- 257.2K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards