Re-mortgage for full and final settlement

gotitspendit

HI

I'm thinking about a DMP (waiting for the Welcome Pack), but have been reading about full and final settlement offers. I own two properties (one buy to let) and there is around £60k worth of equity in them. (50K taking into acccount LTV). Does anyone know if it is possible to re-mortgage with a view to offering creditors full and final offers. I am so sick of being in debt that i would prefer to do this than go on DMP for next five years. Credit history is ok (not perfect - one or two late payments recently but not missed altogether!)

Thanks for any help.

homer_j_3

I think that there is the option to do this. Not a DMP expert but if you are using one of the charities martin recommends, I would speak to them or post on the DFW board.

You have to consider that the debt will be secured and this could result in losing the property if repayments are not kept upto date.

gotitspendit

homer_j wrote: »

I think that there is the option to do this. Not a DMP expert but if you are using one of the charities martin recommends, I would speak to them or post on the DFW board.

You have to consider that the debt will be secured and this could result in losing the property if repayments are not kept upto date.

Yes, I have taken that on board, but trust me there will be no more cc's in our house! Our joint income is close to 4k per month, and mortgage repayments would amount to about £1400 so I don't envisage it being a problem keeping up with provided NO MORE UNSECURED DEBT!! Also with annual salaries of £63k between us we would actually be borrowing less than we would be allowed to (discounting the unsecured of course) so would this make us a more tempting dish to the lenders? Although on the negative side main residence would need to be 95% LTV