Over the last few years the number of people choosing to remortgage their home has rocketed, with two in five of all home loans being accounted for as a remortgage. It is a great decision to make most of the time, with it basically being an easy way to save a bucket load every month. It is as simple as it sounds, getting a new and a better deal in the process!
Choosing to remortgage is almost always going to save you a bundle. It is one of the most effective money-saving methods you can take part in, and it’s always in your favour. The companies are always going to climbing over each other to get your business so take your time and find what is best for you.
If you are one of the majority of borrowers on the standard variable rate (SVR) it is highly likely you are paying too much.
Charging you more than you should actually be paying, is how the companies can afford the lower rate deals to entice new business off new customers. It sounds infuriating but you simply pay more so that the new business doesn’t. It’s a vicious circle, however, because as soon as the honeymoon
period is over the new customers will be paying too much too!
If this is applicable to you, it is certainly time to move. But before you do, make sure to speak to your lender and challenge them about this over priced rate. It is quite likely they will offer to lower it, as of course, they don’t want to lose out on the interest from your debt!
There are countless reasons for Remortgaging. It may be that you wish you pay more a month, but you can’t due to inflexibility.
Perhaps you wish to extend the time you are borrowing so you can pay less a month. Perhaps you simply want to see how much money you can save! Whatever the reason there will be a out there that is suitable to your needs, you just have to find it!
