Remortgage & Bad Credit Remortgage as Interest Rates Go up
As The UK's interest rates increase to 5.5%, the highest they have risen since April of 2001, there's been a great deal of concern about the millions that own homes who may now become over budget and be forced to remortgage to manage their monthly repayments and affordability pressures.
Experian's experts warn that increased debt could be set to rise as a result of this environment, as affordability pressures increase and consumers find that they are financially stretched, leading to a possible increase in IVAs and mortgage repossession as people begin falling into arrears on their secured loans.
The Council of Mortgage Lenders estimates that just a 0.25% rise in rates would most likely shove the mortgage repayments on a 140,000 pound loan with a 25 year term at 5.48% up by 21 pounds monthly and interest-only repayments on the same mortgage loan up 29 pounds monthly.
It's rather obvious that raising capital mortgage rates add to financial pressure on borrowers affordability and will potentially force some into mortgage arrears as they try to deal with their credit and debt commitments on a monthly basis.
Enable Finance are expert professionals in helping families in these kinds of situations and have a bad credit remortgage if they have fallen behind with mortgage repayments or picked up a CCJ or default.
Enable Finance Ltd. provides for those who have credit that falls outside standard criteria for lending - for example; poor credit; self cert mortgage; inconsistent income patterns and court judgments. Enable Finance is authorised and regulated by the FSA (or the Financial Services Authority). It's a part of the National Association of Commercial Finance Brokers and the Finance Industry Standards Association (or the FISA).
