Remortgage & Bad Credit Remortgage as Interest Rates Go up
As the United Kingdom's interest rates swell to 5.5%, the highest they have been since April of 2001, there has been a lot of concern about the millions of homeowners who could potentially find that they're over budget and may need to remortgage to handle their monthly repayments and affordability pressures.
The professionals at Experian caution that debt could possibly rise as a result of this environment, as payment pressures increase and consumers find that they are financially stretched, which leads to a possible rise in IVAs and mortgage repossession as homeowners begin falling into arrears on their secured mortgage loans.
The Council of Mortgage Lenders has estimated that a 0.25% rise in rates would force the capital mortgage repayments on a loan of 140,000 pounds with term of 25 years at 5.48% up by 21 pounds monthly and interest-only mortgage repayments on the exact same mortgage loan up 29 pounds a month.
It's clear that raising interest rates increase financial tension on borrowers affordability and will possibly push some people into mortgage arrears as they work to manage their debts and credit responsibilities every month.
Enable Finance specialises in assisting individuals in this type of situation and even offer a bad credit remortgage if individuals have fallen overdue with mortgage repayments or have a Default or county court judgement.
Enable Finance Ltd. is catered for borrowers that have credit outside standard criteria for lending - as examples; adverse credit; self cert mortgage; inconsistent patterns of income and county court judgments. Enable Finance is regulated and authorised by the FSA (or the Financial Services Authority). It is a member of the Finance Industry Standards Association (FISA) and the National Association of Commercial Finance Brokers.
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