Questions

1. What is APR?
2. Can I borrow more than the cost of my house?
3. How can I keep track of interest rate changes?
4. What happens if I have a poor credit rating?
5. Do I have to take out my insurance with the same people who I get my mortgage with?
6. Can I pay my mortgage off early?

Answers

1. What is APR?

   The APR is the true cost of borrowing and allows you to compare the cost of mortgage products from different lenders.

2. Can I borrow more than the cost of my house?

   All lenders have different lending criteria, and you will need to speak to them individually to discover how much they will lend you.

3. How can I keep track of interest rate changes?

   Interest rate changes can affect your repayments, but your lender will always issue you with a letter detailing any change.

4. What happens if I have a poor credit rating?

   Every case will be judged by your lender on its individual merits. If you have been made bankrupt, certain restrictions may apply and your bankruptcy will need to be discharged.

5. Do I have to take out my insurance with the same people who I get my mortgage with?

   All lenders require that you have building insurance in place. There is nothing to stop you seeking insurance elsewhere, but many lenders will charge a small administration fee if you do.

6. Can I pay my mortgage off early?

   Yes, you can, depending on your mortgage package, although if you are taking advantage of a special rate, there can sometimes be a penalty. Lenders usually also charge a deeds release fee when you complete or move your mortgage.