Remortgaging

Remortgaging is when you replace an existing mortgage with a new mortgage without moving home in order to release capital or reduce interest payments. It might involve changing mortgage lender or opting for another product with your existing lender.

Remortgaging has historically been a popular way of reducing repayments and releasing capital as well as paying off a mortgage early and can be useful as a means of consolidating debts. Taking remortgage advice can therefore be beneficial financially.

Remember that the value of your home may have increased since you bought it and the current market value may affect the choices you have.

Can I remortgage to pay off debts?

Remortgaging can offer some relief as a debt solution for people experiencing a certain level of debt. If you have owned your property for some time, the chances are it could be worth more than your outstanding debt.

Reduced monthly payments at a better rate will mean that you have more disposable income - and this in turn could help you pay off higher rate debts such as credit cards or loans as well as releasing money for home improvements, etc.

I've got a bad credit history - will I be eligible for remortgaging?

In the current economic climate, it's reassuring to know that there's a company with experience and expertise in sourcing appropriate mortgages or remortgages for people with credit difficulties or debt issues. Therefore, it makes perfect sense for Payplan clients to seek free remortgage advice from an organisation like Who's Lending who specialise in adverse credit mortgages.

In recent months, many lenders have withdrawn from the sub prime mortgage market (mortgages for people with poor credit ratings) which has strong implications for people with debt issues seeking to remortgage. Fortunately, Who's Lending has forged strong partnerships to facilitate mortgages for people with poor credit ratings or debt issues.