Summary

If you're planning a mortgage, be aware of the extra charges that can creep in. Here we try to explain some of the jargon which you'll come across.

Seeking a mortgage? Check out the hidden costs. Part 2

Author: Michael Challiner

The thing to do is to organize the switch to take place near to the month

Best mortgage deal UK, put your best foot forward!: You'll have to shop around to get the best mortgage deal. This article advocates Ask, Ask, Ask and don't be shy!
Rate Tarts No Longer Welcomed By Mortgage And Credit Card Providers: Mortgage lenders are taking steps to reduce the number of people switching their mortgages. This article looks at the situation.
Refinance home distilling cash by renewing home loan: Every year many people refinance their mortgage. Why and what to look out for.
Mortgages. Higher Lending Charges are outrageous.: Higher Lending Charges are often charged if your mortgage is 90% or more of your property's value. We think the charge is a form of profiteering by the lenders and should be abolished. This article explains why.
Mortgages. Big changes in the buying and selling of houses.: In mid summer 2007 everyone who wants to sell a property will have to prepare a Home Information Packs before they put it on the market. This article explains what the Packs will have to include what they'll cost - and whether we expect them to work!
Mortgages. Short term advice: There are some new lower rate “lifetime” home loans coming onto the market. How do they fare against the even lower rate “shop around” options?

Life Insurance News

end, to improve the situation.

Annual Interest Calculations - Where interest is calculated on a daily basis, the repayments are immediately credited and interest is paid on the exact balance. This is the usual method used; however a few building societies, the Portman Building Society and the West Bromwich Building Society being two of the better known ones, charge you interest basing their calculations on the amount owing at the start of the year. You then pay interest on money already repaid in previous months. Careful with this one!

Mortgage Advisers Fees - There are literally thousands of mortgages on the market. A mortgage broker will take into account your personal situation, and then come up with a selection of mortgage suggestions and the all important calculations. Your home is probably the most important and expensive purchase you'll ever make (until the next time!) and undoubtedly it's prudent to seek the advice of an experienced broker.

Fees for this all important service may be charged at a flat rate, or it's possible that the broker may charge a percentage of the mortgage. It may be that the fee will be paid by the lender but whatever the arrangement it's important to be aware of whatever charges there are likely to be before you proceed with the business.

To summarize: As you'll gather, there are various traps for the unwary and many ways of parting you with your hard earned money. Obtaining a mortgage is no longer the simple exercise it used to be. Make sure you use a reliable mortgage broker who will be aware of all these difficulties and will guide you through the maze.

Did you Know?

Early methods of transferring or distributing insurance risk were practiced by Chinese and Babylonian traders as long ago as the 2 nd and 3rd millennia BC. Chinese merchants traveling treacherous rivers would redistribute their stock across many boats to limit the loss due to any single boat sinking. The Babylonians devised a system which was recorded in the Code of Hammurabi, circa 1750 BC and was used by early Mediterranean sea traders. If a trader received a loan to fund his shipment, he paid the lender an extra sum in exchange for a guarantee that the lender would cancel the loan should the shipment be accidentally destroyed or stolen.

Did you know?
If you are looking for cheap car insurance , then shopping on the Internet is sure to come up trumps. That's why Internet sales now account for 53% of all car insurance. And when it comes to renewal time, remember to shop around again! Don't automatically accept a renewal notice - you may still find it cheaper!

Did you know?
If you can't get home insurance , beware - the Royal Institution of Chartered Surveyors warns that value of your house could fall by 80%. And it's a high flood risk that is most likely to make your house uninsurable. According to a recent report, 6.5 million homes are already at risk from flooding and 1.5 million homes are in areas at high risk. Furthermore, if global warming continues, by 2030 this 1.5 million figure could double.

Did you know?
A survey conducted by Experian the credit reference agency, found that 54% of loan applicants for were refused whilst 43% were offered a loan but at a higher rate than that advertised. That's why, if you're searching for cheap loans , it's usually best to go through a loan broker who will know the lenders who will suit your circumstances.