Remortgages

Remortgaging is a good idea for many reasons: It may be to save money because your current lender is not looking after you any more. Or it could be to consolidate debts such as expensive loans and credit cards.It could also be to release equity in your home for you to use for home improvements, a deposit on a buy to let property or even a holiday.

If you got an initial 'good deal' from your current lender, chances are that when that 'good deal' ends they will not look after you any more and you will pay what is known as their standard variable rate (SVR). Provided there are no 'extended tie ins' which generate penalties if you switch mortgages, you should, in most cases, be able to get a better deal.. The SVR is the lender's 'top price' that they charge you for the privilege of 'using' their funds. You should avoid paying this price at all costs - the lenders won't tell you this because it is through charging this rate that they make most of their money...in most cases, the benefits of switching far outweigh the costs and not to at least consider remortgaging is considered by many to be financial madness.