Debt consolidation mortgage

Debt consolidation mortgages

A debt consolidation mortgage is a mortgage that's big enough to pay off your original mortgage and your unsecured debts. By taking out this type of mortgage you could lower your monthly payments.

You'd owe more to your mortgage provider, but you'd wipe out your other debts, so you'd have just one repayment to make every month - your mortgage.

Is a debt consolidation mortgage right for me?

If you're struggling to keep track of your debts, a debt consolidation mortgage could be the answer.

Apart from making your monthly budgeting far easier to manage, a debt consolidation mortgage could seriously lower your monthly payments, since it will probably come with a much lower interest rate than unsecured debts such as credit cards, store cards, personal loans and overdrafts.

It's also possible to reduce your monthly payments by arranging to repay your new mortgage over a longer period - although this will increase the total cost, as the money will spend longer gathering interest.

The overall cost for comparison is 4.8% APR (typical).

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THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT. DEBT CONSOLIDATION MAY INCREASE THE AMOUNT TO BE REPAID IN THE LONG TERM. Subject to status. An arrangement fee of £495 is payable on completion. For debt consolidation mortgages the fee is 1.5% of total advance (minimum £1295, maximum £1,695). No fee for returning customers. The actual rate available will depend upon your circumstances. Ask for a personalised illustration. Calls may be recorded.

Company Registration No. 4291279. Consumer Credit Licence No. 512740. Think Mortgages is a trading name of Think Loans & Mortgages Limited. Carlton House, Vere Street, Salford Quays, M50 2GQ. Registered in England and Wales. Authorised and regulated by the Financial Services Authority in respect of regulated mortgage and general insurance contracts. Calls to 0800 numbers from BT landlines are usually free. Calls to other networks may vary and you should check with your network provider for full details of your service.