Debt advice could help with mortgage repayments
Debt advice could help with mortgage repayments
- Monday, 14 September 2009debt advice could allow people to begin repayments on their mortgages rather than simply paying off the interest.
According to Halifax, the percentage of disposable income being spent on mortgages has decreased from 48 per cent in the third quarter of 2007 to 29 per cent in August of this year.
While this initially looks like good news, one expert has warned that people are not making the most of an opportunity to begin repayments and are simply paying the small interest rates currently on offer.
Catherine Hearnden, director of MyMortgageDirect, said that a number of people are suggesting they will change to repayment "once it becomes affordable", but warned that now was perhaps the most affordable it would be for a while.
She commented: "If it isn't affordable now it never will be. People could take advantage. If they are on interest only, they should certainly consider overpayments if their deal allows, or moving to repayments."
According to the Bank of England, mortgage approvals increased in July to 50,123 from 47,891 in June.

Recent Debt Management Plan News
56% of Brits have no life insurance which could leave family with debt problems
Wed, 04 May 2011More than half of UK adults currently have no life insurance cover, which could mean their loved ones are left with
debt problems when they die...
Brits thinking about retirement advised to seek debt advice
Tue, 03 May 2011Consumers considering their retirement options have been advised to seek professional advice, as they may end up with
debt problems in the future...
Brits planning to attend a wedding should start saving to avoid debt problems
Thu, 28 Apr 2011Consumers concerned about getting into
credit card debt to pay to attend a wedding may want to use their savings instead...
Couples planning their big day can avoid debt problems by negotiating a cheap wedding
Wed, 27 Apr 2011Couples-to-be worried about needing
debt advice in the future after paying for a wedding can ensure they avoid accruing
debt problems by negotiating a cheap wedding...