One million homeowners were hit by a rise in their lender’s standard variable mortgage rate at the beginning of May, prompting some borrowers to look for the guarantee of a fixed rate.
With the increasing pressures on Police household incomes, Police Mutual understands that money can be tight so developed a mortgage advice service exclusively for serving and retired Officers and Staff and their families.
The service is free for existing customers of the Police Mutual Group. The fee payable for non-customers is £300, but this will be waived if you take out any Police Mutual Group product during the process.
Police Mutual’s advisers search the whole of the market, including deals not available to the general public, to find the right mortgage for members – whether they’re looking for the security of a fixed rate, are buying their first home, moving house or are in the buy-to-let market.
Police Mutual’s Commercial Director, James Henderson, said: “With Bank of England interest rates at a record low, mortgages linked to standard variable rates may have seemed a safe option for many homebuyers but remember, this is a risk as the uncertain economic climate could see rates rise sharply.
“Once interest rates start to rise, the low fixed rates currently on offer are also likely to rise quickly so if you’re looking for the security of knowing how much you’ll be paying out each month, now might be the right time to consider moving to a fixed rate.
“Choosing a mortgage is likely to be the biggest financial commitment you’ll ever make and can be stressful, so it’s important to talk to someone who fully understands your needs and can impartially search the whole of the market for you. Our team understands the employment benefits available to the Police and won’t offer products members don’t need.
“Whatever mortgage deal you’re looking for, our team will help find the right deal for your circumstances.”[pullquote_right]“Whatever mortgage deal you’re looking for, our team will help find the right deal for your circumstances.”[/pullquote_right]
So far this year, we’ve spoken to nearly 1,500 members about their mortgage and how they might be able to get a better deal. Here’s how we helped one member save:
They had a mortgage of £81,200 with their existing lender, with a monthly payment of £520. They were interested in remortgaging to reduce their mortgage term. They had 25 years remaining on the mortgage, but wanted to reduce the overall term by 5 years. They also wanted a mortgage product with flexibility and no early repayment charges. We managed to source a suitable product and decrease the mortgage term from 25 years to 20 years, saving £25 a month in the process.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Find out more about choosing the right mortgage for you – call the Police Mutual mortgage advice team on 0800 652 9103.
Police Mutual has more than 200,000 existing customers and works with a select number of specialist partners to provide expert financial and welfare advice and services to members of the police service and their families. For more information visit the website, policemutual.co.uk.