What was the situation?
An existing client was looking to remortgage their residential home to consolidation debt and reduce their monthly commitments to fund private school fees for their children.
What was the issue?
Our client was looking to remortgage from their current bank to another high street lender. They sought to consolidate £200k of unsecured debt, part interest only and part repayment. This arrangement however was outside of the lender’s criteria, as they do not allow interest only with debt consolidation.
On behalf of the client, we approached their preferred high street lender to present their case and explained the client’s situation. They were currently paying £4.5k per month in mortgage and debt payments. The client also had existing unsecured lending with the lender.
What was the solution?
Using our expertise and industry knowledge, we were able to persuade the lender to agree to moving over the existing mortgage balance onto interest only, with the debt being consolidated onto a repayment basis. This solution took the client’s monthly payments down to £2.5k; with the case agreed on an exception basis.
Creative solutions for your finances
Are you looking to consolidate your debts, or reduce your monthly commitments? At LDN Finance, our friendly professionals have the expertise and experience to reach an agreement with lenders that works for you. Get in touch with us today to organise an initial consultation.