Tips

If you are having trouble answering your own questions, you may not be on the best deal. Other Questions to ask yourself include: When was my mortgage last reviewed? Am I tied in to a particular mortgage product or rate? Do I have, a fixed, variable or capped rate? Do I feel that my monthly mortgage payment is too high, or do I want to pay more to clear my mortgage sooner? How flexible is my mortgage in terms of overpayments, underpayments or offsetting my savings? Am I on a conventional repayment method, or interest only? Is my endowment policy likely to fall short and if so what should I do?

These, and a great many more questions could be the key to you saving money or time on the repayment of your mortgage, and if you have not addressed these issues for a few years, then now may be the time to do so. Many lenders may neglect to tell customers when their initial offer is over, leading you to paying a higher rate than necessary.

Finding out all about your current mortgage will put you in a commanding position to shop around and to rely on your own instincts on what is the right mortgage for you. Your current circumstances may now be different from those when you initially took out the mortgage, meaning that a different product or deal may be better suited to you. If you feel that you can pay more every month towards your mortgage, you might want to consider reducing your mortgage term. However on the other side of the coin you may be finding it difficult to meet your monthly committments therefore you may wish to consider extending the term to help reduce your outgoings to a more affordable level.

You may have a job where your income fluctuates every month, therefore you might want a more flexible product where you can make overpayments or have the facility to make larger lump sum payments at your convenience.

Extending the repayment term can increase the overall cost of the debt.