Who Suits a Flexible Mortgage?
These mortgages could be ideal for self-employed people or those with irregular incomes as they would be saving on interest on their mortgage when funds were good and would avoid problems when waiting for overdue payments.
The other flexible mortgage, used less commonly, is the current account version. It offers full banking facilities and rather than just combining savings and mortgage, it includes salary payments, any other loans and credit cards. This means that money paid into the account, from any source, or interest earned on balances, is credited to the mortgage and reduces the debt and therefore the interest charges.
Although providers claim that using this method can save borrowers a substantial amount over the period of the mortgage, meaning that they can pay off the loan early, it would take a lot of discipline and restraint to manage this account efficiently. Not all borrowers would feel happy to take this on.
Flexible loans are certainly worth considering, but terms vary between lenders and there are lots of things to be taken into account. Our advice would be to let the experts help you. An on-line mortgage broker would be able to answer all your questions. They're completely up-to-date on all the latest mortgages and will be able to offer all the advice you need and come up with the very best deals.