What can I do if my repayments increase ?
Increasing repayments can put strain on your household budget , but there are steps you can take to see if you can limit the impact . Some options to consider include :
• Extra repayments - check if your loan allows for repayments above the required amount . This can bring down the principal faster and reduce the total amount of interest you pay .
• Negotiate - if it ’ s been a while since you negotiated with your lender , or your circumstances have changed ( such as your credit score has improved ), you may be able to negotiate a lower interest rate on your current loan . A broker can do this on your behalf .
• Refinance - if your lender won ’ t offer a lower rate , a broker can compare your loan to others on the market to see if you could be better off elsewhere . If another loan better suits your situation and / or has a better interest rate , your broker can arrange for your loan to be refinanced to the new lender you choose .
What can I do if my fixed rate is due to expire ?
If your fixed rate is due to expire in the coming months , it ’ s a good idea to speak to your broker to compare the variable rate it will roll into to other products on the market . This is because the variable rate may not be the most competitive and the loan may not be ideally structured for your goals .
The information provided in this article is on the understanding that it is for illustrative and discussion purposes only . Whilst all care and attention is taken in its preparation any party seeking to rely on its content or otherwise should make their own enquiries and research to ensure its relevance to your specific personal and business requirements and circumstances . Terms , conditions , fees and charges may apply . Normal lending criteria apply . Rates subject to change . Approved applicants only .
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