Basically my current mortgage deal expires in a couple of months. I have debts of 10,000 accumulated as a result of university after I purchased the house. I have taken up a new job which is some miles away and will be commuting with my partner as it is close by to their work. We need a new car as our current is very old, has been round the clock, has numerous mechanical issues and is really uneconomical to drive.
I'm stuck in a hole though. My partner has been in their job only a few months and doesn't get out of a probationary period until 3 days after the current mortgage expires. From then on it would take six weeks to transfer the mortgage to a different lender. We intend to take out equity in our house to cover 8,000 of my debt. However there are some issues.
Firstly, we owe around 77,000 by the end of our mortgage deal. They would only let us remortgage up to the 85,000 if we used the money for home improvements, only letting us remortgage up to 80,000 if we wanted it for debt consolidation. I feel really annoyed because if we were to release equity up to 85,000 our mortgage repayments would only be 9 pounds more a month than we pay now. I've never missed a payment on what I owe and I always overpay (I've shifted 5,000 in the past year alone off my debts, although things are slowing a bit thanks to the cost of now commuting to work). This would then mean we could get an economical car on finance which would effectively pay for itself compared to the amount of fuel we are spending now. I could then blitz the remaining 2,000 of my debt and pay it off in a matter of months.
Secondly, due to the probationary period issue, we can't do anything to remortgage to a new lender anyway until at least July .
I just feel soooo hopeless. I don't use my credit cards anymore. I've never missed payments and I work my backside off for any extra money that I can. I just wish that lenders would be willing to let me consolidate my debts as they would be making even more money off me and I can have breathing space. I've got until September when my first 0% balance transfer runs out and I've exhausted most other balance transfer cards.
Anyone been in this situation or got any suggestions?! I'm really kicking myself for getting into debt :(
I'm stuck in a hole though. My partner has been in their job only a few months and doesn't get out of a probationary period until 3 days after the current mortgage expires. From then on it would take six weeks to transfer the mortgage to a different lender. We intend to take out equity in our house to cover 8,000 of my debt. However there are some issues.
Firstly, we owe around 77,000 by the end of our mortgage deal. They would only let us remortgage up to the 85,000 if we used the money for home improvements, only letting us remortgage up to 80,000 if we wanted it for debt consolidation. I feel really annoyed because if we were to release equity up to 85,000 our mortgage repayments would only be 9 pounds more a month than we pay now. I've never missed a payment on what I owe and I always overpay (I've shifted 5,000 in the past year alone off my debts, although things are slowing a bit thanks to the cost of now commuting to work). This would then mean we could get an economical car on finance which would effectively pay for itself compared to the amount of fuel we are spending now. I could then blitz the remaining 2,000 of my debt and pay it off in a matter of months.
Secondly, due to the probationary period issue, we can't do anything to remortgage to a new lender anyway until at least July .
I just feel soooo hopeless. I don't use my credit cards anymore. I've never missed payments and I work my backside off for any extra money that I can. I just wish that lenders would be willing to let me consolidate my debts as they would be making even more money off me and I can have breathing space. I've got until September when my first 0% balance transfer runs out and I've exhausted most other balance transfer cards.
Anyone been in this situation or got any suggestions?! I'm really kicking myself for getting into debt :(