Sharon came to me in desperation to help them to consolidate some of their debts.
She had already been to her current bank for advice who, because of borrowing for debt consolidation at high LTV, had advised they could not extend the term of the mortgage. This would have meant that the further advance would not have brought the monthly payments down. Not good.
After researching the options, I found that her current lender was right for her circumstances and they had seemed to have given Sharon incorrect guidance. I advised Sharon to speak to their bank again to double check the advice she received. The bank was once again adamant that they couldn’t help as Sharon was asking for an 85% debt consolidation.
“The mortgage was offered in under a week”
Having previously carried out many applications at 85% for debt consolidation with this lender and previously being able to extend the term, I submitted the application with my fingers crossed. The mortgage was offered in under a week. Sharon has since cleared her debt and has also made an important monthly saving meaning she could once again live her life without concern for defaulting and losing her home.
Adviser: Louise Kelleher
Purchase price: £300,000
Loan: £40,000 further advance
Arrangement Fee: £0
Term: 20 years