Remortgage & Bad Credit Remortgage as Interest Rates Climb

As Great Britian's loan rates rise to 5.5%, their highest level since April of 2001, there has been a great deal of concern about the millions who own homes that could now find that they're over budget and may have to remortgage in order to handle the pressures of their monthly payments.

Experian's experts suggest that debt could easily rise as a result of this climate, as pressures to afford payments increase and customers find themselves financially strained, which leads to a possible growth in IVAs and mortgage repossession as homeowners fall into arrears on secured loans.

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

It's obvious that raising mortgage rates increase financial demand on borrowers affordability and could potentially push some into mortgage arrears as they struggle to manage their credit and debt responsibilities on a monthly basis.

Enable Finance specialises in assisting individuals in this kind of situation and offer a bad credit remortgage if in fact they have become behind with mortgage repayments or have a CCJ or default.

Enable Finance Ltd. caters to potential borrowers who have credit that falls outside high street lending criteria - for example; bad credit; self cert mortgage; irregular income patterns and county court judgments. Enable Finance is regulated and authorised by the Financial Services Authority (or the FSA). It's a part of the National Association of Commercial Finance Brokers and the FISA, or the Finance Industry Standards Association.