Bad credit mortgages ’still available’
People seeking a poor credit mortgage were today warned that they could find prices have gone up significantly.
Most lenders have reviewed their mortgage strategies in the wake of the credit crunch and many have withdrawn products aimed at sub-prime borrowers or reduced the loan-to-value available on such deals.
Richard Brown of personal finance website Moneynet admitted that conditions are tough for people with bad credit histories, but insisted people who are prepared to do their research could find deals.
There are still some mortgages on the market that are available to almost anyone, including those with a record of mortgage arrears and defaulting on credit repayments, he continued, but interest rates could be as high as 9.99 per cent.
Mr Brown added a word of warning for people who are searching for such a loan, explaining: "These products should only be used to help people stabilise and restore their credit rating, not for continuing to finance an otherwise unsustainable lifestyle."
You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.