Remortgage & Bad Credit Remortgage as Interest Rates Go up

As UK loan rates rise to 5.5%, the highest they have been since April 2001, a good deal of concern has been voiced regarding the millions of homeowners that could now find themselves over budget and may have to remortgage in order to manage the pressures of their monthly payments.

Experian's experts suggest that increased debt could be set to rise in this climate, as payment pressures elevate and consumers become stretched financially, which leads to a potential increase in IVAs and mortgage repossession as homeowners begin falling into arrears on secured mortgage loans.

The Council of Mortgage Lenders has estimated that just a 0.25% rise in mortgage rates would most likely force the capital mortgage repayments on a loan of 140,000 pounds with term of 25 years at 5.48% up by as much as 21 pounds per month and interest-only mortgage repayments on the same loan up 29 pounds a month.

It's obvious that increasing mortgage rates will add to financial tension on borrowers affordability and could potentially force some into mortgage arrears as they work to deal with their debts and credit responsibilities on a monthly basis.

Enable Finance are professionals who specialise in assisting families in these circumstances and have a bad credit remortgage if individuals have become behind with mortgage repayments or have a County court judgement or default.

Enable Finance Ltd. provides for borrowers whose credit histories fall outside high street lending criteria - as examples; poor credit; self cert mortgage; inconsistent earning patterns and county court judgments. Enable Finance is authorised by the Financial Services Authority, or the FSA. It's a part of the FISA, or the Finance Industry Standards Association and the National Association of Commercial Finance Brokers.