Jump to content
House Price Crash Forum
Sign in to follow this  
Realistbear

Latest Craze Of Putting Credit Card Debt Onto Mortgage

Recommended Posts

http://www.thisismoney.co.uk/credit-and-lo...4&in_page_id=62

Cost of piling debt on mortgage

Rosana Spero, Daily Mail

10 March 2006

LUMPING all your debt on to your mortgage to get lower repayments may sound a good idea, but it could cost thousands in extra interest over the longer term.
Figures from the Bank of England reveal that mortgage borrowing increased by £10.5bn in January - the biggest monthly jump for 18 months.
....
But the amount of interest charged would rocket. Instead of paying £4,510 in interest over the term of the personal loan, they would pay £19,046 interest on the mortgage. This is because they would owe the money for five times longer
.

No wonder the Shylocks are spending a fortune advertising how to "get rid of debt," its where all that mortgage growth has been going.

Edited by Realistbear

Share this post


Link to post
Share on other sites

If they were canny, they would put the debt on the mortgage and pay the SAME or MORE in monthly payments for their total debt as they were before. This is would whittle down the debt much faster as you'd be paying it off at far lower interest rest.

Of course, this only works if you're 100% committed to erasing debt. I know the current fashion is for spending like a loon until you go bankrupt.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.