Flexible mortgages and remortgages can save you thousands of pounds in
interest payments, during the life of your mortgage. With the facility
to overpay, link current accounts to "offset" interest, take
payment breaks and borrow amounts based on ability to pay, not on
income multiples - it's no wonder they are fast becoming so popular.
What is a Flexible Mortgage?
There are various types of mortgage available which give the borrower
increased flexibility compared to traditional types of mortgage.
The most important feature of flexible mortgages is that the borrower is
allowed to alter their mortgage payments, e.g. by making
overpayments when they have more available income. This can lead to
earlier repayment when compared to a regular monthly amount, which can
save thousands of pounds of interest. With a flexible mortgage payment
holidays can also be taken when money is not so readily available.
Some flexible mortgages operate as both a current account and a mortgage
account. The advantage of a flexible mortgage is that all money is
controlled within one account and savings can be used to offset the
debt. With flexible mortgages interest is only paid on the balance
outstanding at the end of each day, leading to less overall interest
Your home may be repossessed if you do not keep up repayments on your mortgage
Equity Release Mortgages