well i`m thinking of getting a loan out.. the alliance and leicester as the best deal...5K for 150 a month, it will be at 7.9%

or i`ve got a tiny 25k mortage, would it be better to add 5k to that, its an endowment one....how much more would it cost per month, ive got 18 years left any ideas??????


anyone done it????????

Some rough figures from Nationwide: -

5k Borrowed over 18 years on Mortgage
Interest Rate: 4.64% (Variable)
Basic Monthly Payment: £34.19
Total Amount Payable £7,386.84 | APR (variable) 4.7%

5k Borrowed over 3 years on Mortgage
Interest Rate: 4.64% (Variable)
Basic Monthly Payment: £149.05
Total Amount Payable £5,370.55 | APR (variable) 4.7%


5k Borrowed over 3 years unsecured loan
Monthly Repayment £155.82
Total Amount Payable £5609.52

It's the TAP that counts really and do you want to keep your payments down by borrowing over a longer period.

Stu...

The TAP is a good figure to base calculation on, but you also need to consider the cost/value of money 18 years down the line. Normal career progression would mean that what you would be paying then will be relatively less than what you will pay now.

Best bet is to find out what it would cost you on a personal loan, remortgage adding the amount and pay the amount your personal loan would have cost per month into your mortgage. This is almost always the cheapest way based on TAP

Add it to the mortgage and pay it off over the same period - very much quids in bar any arrangement fee.

get the right mortgage and there will be no fees - Woolwich or Abbey National are the hot two at the mo

er whats TAP???

http://217.10.131.176/plumbworldimages/pwd0700s.jpg

surely thats taps??

Total Amount Payable

Stu..

ah now i see...cheers stu!

:D