Remortgage & Bad Credit Remortgage as Interest Rates Climb

As British interest rates climb to 5.5%, the highest they have risen since April 2001, concern has been voiced regarding the millions of homeowners that could now become over budget and might need to remortgage in order to handle their monthly repayments and affordability pressures.

Specialists at Experian suggest that increased debt could easily rise in this environment, as affordability pressures elevate and customers find that they are financially strained, which leads to a possible swell in IVAs and mortgage repossession as homeowners fall into arrears on secured loans.

The Council of Mortgage Lenders has estimated that a 0.25% inflation would push the repayments on a 140,000 pound loan with term of 25 years at 5.48% up by 21 pounds per month and interest-only mortgage repayments on the exact same loan up 29 pounds monthly.

It's rather obvious that raising mortgage rates will increase financial stress on borrowers affordability and could even push some customers into mortgage arrears as they struggle to deal with their credit and debt responsibilities every month.

Enable Finance are professionals who specialise in assisting families in this kind of circumstance and have a bad credit remortgage if they've become overdue with repayments or have ended up with a Default or county court judgement.

Enable Finance Ltd. is catered for potential borrowers that have credit that is outside high street criteria for lending - as examples; poor credit; self cert mortgage; irregular patterns of income and court judgments. Enable Finance is regulated and authorised by the FSA. It's a member of the FISA (or the Finance Industry Standards Association) and the National Association of Commercial Finance Brokers.