You may have seen recent press articles that some lenders have increased their standard variable rate (SVR). This means your monthly mortgage payments would increase if you are a borrower on SVR with these lenders.
Despite the Bank of England Base Rate staying at an all-time low, your lender may have the ability to increase their SVR. While not all lenders have made an increase, some lenders could make a change at any time. Lenders could also have the option of increasing the cap on by how much they can increase their SVR, so it is also worth checking your contract to see if this may apply to you.
As an example, if you had £100,000 left to pay on your mortgage with 15 years left on your term and experienced an increase of rate from 3.25% to 3.75%, this would equate to an increase of approximately £40 to your monthly mortgage payments. If you are on a repayment mortgage this would be higher still.
Call us today to see if you could benefit from a review
It is always a good idea to keep your mortgage under review to see if you are on the best rate and product for your circumstances. There are many options currently on the market, including product transfers with your existing lender. These types of offer can often mean there are no upfront fees to pay.
Here at LEA-FS we can take the hassle out of remortgaging and help find the best deal for you. We provide a full advice service and can guide you through all the options available. There are many things to take into consideration when taking out a mortgage such as general insurance and protection; we also offer a full service in insurance and protection so why not contact us today?
Your home may be repossessed if you do not keep up repayments on your mortgage.